I got my RAZR for about that. And my usage pattern is (I think) pretty typical... I use it for texting and for phone calls. I messed around with the camera a couple times, just to check it out... it wasn't too hard to use, but nothing spectacular.
But the more I use my RAZR, the more I think that its UI was designed by high schoolers. the Address book is god-awful. things as common as having multiple numbers for the same person are HORRENDOUSLY un-thought-out. the date book and alarm are ridiculous: you can't set event alarms to ring at the time of the event, or more than a single ring, the ring doesn't go off if your phone is on vibe (mine often is, as much as I am in class). If you set up an alarm, you have to disable it to make it stop ringing, and then navigate through the menu to it to re-enable it if you want it to go off the next day. It's got about as much consistency as homework scraped together right before class. the UI really is trash. Texting has that great word-guessing feature that is a superb time-saver, but it's not very consistent that you enter that mode (e.g., when you're entering someone's name in the address book, or the subject line). Calling has all these stupid things about it that you just have to memorize. Bleh. It really puts me off of using any of the phone's other features, which is money lost for cingular.
Personally, I am looking for something a little bit taller, wider and skinnier than the Motorola SLVR--no huge data capacity, no camera (i keep dreaming), just a sweet phone, with some basic email/web/SMS capability... although I could go for an all-in-one when 32GB flash becomes doable and affordable, 2 years from now.
In any case, you call it the same way Cook does, with more caveats: your caveat is, damn, that thing is expensive. But you're basically saying, a bunch of people talk like they want this, and it remains to be seen if they will put their money where their drooling mouths are, yeah? It should be interesting.
I think Apple just needs to sell a small number at first. 10 million is more than enough. enough to have people on the streets using them (making people jealous), raving to their friends how cool and worth it they are, and also demoing their features to friends. I know that Wi-Fi is going to be a jealousy-inspiring feature for me! Then they need to get some market control, leverage their iPod-massive-supply influence to negotiate favorable component pricing, etc, to drive price down. hopefully in 1-3 years we'll see some much more decent, direct competitors (I think the phone market will be much more robust than the MP3 Player market), along with a very affordable, wide range of iPhones. Like others, I am an optimist about this