OK - so I've upgraded to the 3GS and I'm loving it. I can tell already that my 1st Gen phone is just going to sit in my drawer collecting dust, so I probably don't need to keep it. As far as I know I have the following options: 1. I could keep it and use it as an iPod Touch. But what about syncing it with my iTunes? Won't my iTunes get confused? Won't it try to activate it? Will it mess up the syncing of my contacts? 2. I could keep it as a backup iPhone should something happen to my 3GS. This is what I heard but is it true? If I lost my 3GS, could I switch back to using my old phone? Would AT&T allow that? I imagine buying a replacement 3GS phone would cost me full retail price, so having a backup might be a good idea. But then would I really want to go back to the 1st Gen phone? Not sure. 3. I could sell it online. 4. I could give it to my friend who has family in Mexico who would love to have an iPhone. For them it's very expensive to buy one and they would be thrilled to have even a 1st Gen iPhone. I think this is probably what I will do. I might just give it away too, since I did get the phone as a refurb and paid like $200 for it. So, if I do give away my 1st Gen iPhone, what should I do to the phone before giving it away? I really don't want to give away all my contacts and text messages, etc. Is there a simple way to erase everything off the iPhone? Is there a way to erase all the data but leave all the programs? I know when they go to set up the phone for their use, the programs will get removed but I figured they could at least check them out before setting up the phone for themselves. I also need to erase everything without messing up the data on my 3GS phone. I see there's a Reset option in the Settings of the iPhone. What does Reset do? What does it delete, what does it leave untouched? Thanks!