lol, this ****ing debate about wether it is a tool is ridicuolous, just because it is MORE fun than certain pda/smartphones does not make it a toy, it helps you get A LOT done, being a college student, I can email prof. instantly and quickly, I get so much more done during the day having quick communication with people through email, see grades posted immediatly, email notes to yourself, calendar for upcoming tests/assignments, all of which sync with my computer.
If this was the only phone that did this in the world would it be a toy or a tool or dear i say BOTH! My guess would be if the iphone was the only device that did these things, you would refer to it as a tool as well, but suddenly since there are competitors that have these same features, just with less fun options, its a TOY.
In addition, you sound like atechologically smart person, what about the people that are not? My dad, about 60, is not very technologicially advanced, he got an iphone and its a wonderful tool for him, he cant hear well and is a busy man so he can look at his voice mails, and check by priority, go back and rewind if he did not catch a number or could not hear, he does not have to sit there for 35 minutes and listen to each and every voicemail, wait till the end "delete, save or repeat" he does not have unlimited time so this helps him get more done throughout the day, now has all of his contacts syned up from years of using the address book in outlook, no longer does he say "there address is on my work computer" everything he needs is right there. We can be on vacation and if my dad gets an important email he can reply almost anywhere. He does not even have any music on his phone anymore or play any games. It is definatly a tool, not a "toy" for him.
One of the best tools though, the internet, if I do not know the answer to something, I can use the internet right away, and find the answer. The internet is a TOOL for when say you research, and a TOY when you say, play online poker.
As you can see the iphone serves many different purposes, and can help many people in this world be MORE productive, get more done in a day, learn more in a day. Yup the iphone is a great tool... and toy

just depends who you are and what you use it for.
I guess though if you just refer to this as what "you consider a tool" then we could argue this all day, You can check stock prices! "na i dont consider that a tool, its a toy"
"wel it does this to!"
"na that does not count either i dont consider that a tool either"
"it can get directions"
"nope still not a tool, a toy gives you directions to, maps are toys"
give me a break