Bought the wife a smart phone (Samsung Android) since the monthly plans have come down to a reasonable price per month ($25 for 300 min and everything else unlimited - no contracts) and I'm very impressed.
I'd never do a Iphone even if it was the same price. I can not stand and will never use Itunes.
But I have heard a lot of co-workers who have IPhones that they will move over to Verizon once the phones are availble or their contract ends. AT&T will loose a LOT of customers.
Bill