The Next Generation

Price
American pricing has been set at US$499 for the 4GB model with a two-year contract and US$599 for the 8GB version (also with a two-year contract).

Design
The device looks beautiful with a resolution of 320 x 480 by 160 pixels per inch. The more profound impact for all cell phone users is the emphasis Apple is putting on design, both hardware and software. With its touch-screen interface, 3.5-inch screen (measured diagonally) and elegant simplicity, Apple is pushing the cell phone in directions it hasn't gone before. Apple fulfilled our expectations this time with a smooth design and an innovative interface.

Advantages

• Seamless integration of a PDA,Phone and
  Internet device.
  
• Gives the user seamless integration for all the content they have already acquired from the iTunes store.
  
• They own all the pieces of the puzzle now. Server, PC/Mac, handheld device and DRM
  
• 720p HD Quality TV in your palm.
  
• Perhaps will make a comeback of the so much hated “touch screen phone” back to the US Market.
  
• Perhaps provide good and healthy competition to big 4 phone manufacturers.

Disadvantages

• No 3G, it works on Cingular EDGE platform, not on Cingular 3G network HSDPA.
  
• Cannot install third party software.
  
• No expandable memory. I think 8GB is enough memory, but for iPod video lovers, its a disadvantage.
  
• No removable battery. If the battery is broken, you send the phone to Apple instead of they sending you the battery.

My Concerns

Its too expensive
I don’t think, US$599 with 2 year contract is a cheaper price. I guess the carrier is baring at least $200 in the cost of the iPhone, so if you want to get the phone without the carrier(initially it may not be possible) you will end up paying around US$800, which is as expensive as laptop.

For enterprise people, but missing enterprise functionality
Looking at the price and the Internet communicator features, Apple is targeting only the enterprise people, but it doesn’t provide connectivity to enterprise data. Majority  uses either Microsoft Exchange or Lotus notes and iPhone cannot be used with these. It provides Yahoo IMAP push, its great, but most will not store their data on Yahoo servers.

Full flexed Web browser support maybe but not really
Based on the presentation, it doesn’t seem to be the regular browser, it should support all the features like audio, video etc. If it is a regular browser, then Google maps should work in it. But why did they demonstrate a separate Google maps application?

Exclusive for Cingular soon to be AT&T, what about the others?
They announced the exclusive partnership with Cingular until 2008. That means no body else can carry iPhone until 2008 in US. For those stuck in contracts and other things unless your already with AT&T you can't switch carriers.

Conclusion
It looks cool and overall despite the disadvantages, I predict an iPhone success. The iPhone will garner interest simply because it exists, and as such has great potential to move music phones into the mainstream.