I think I would be entitled under my AppleCare warranty to have my phone swapped for one running 3.x because they don't offer a downgrade path. The phone borders on unusable at times, and they did not specify this before the upgrade to 4. They only specified that certain features would not work, and I accepted that. What do you think? P.S. Since the 5th Av store is 24-hour, I just found out that all replacement 3G iPhones are shipped with 4.0! They had a couple in the store with 3.x several weeks ago. They assured me that 4.1 will fix the sluggishness, and also suggested I turn off Spotlight to improve performance in the meantime.