You're not disappointing me, you're confirming me. My E61i is also an inadequate internet device. That's why I don't use it anymore.
Even if someone didn't hit a sweet spot, have a certain need for a level of service that was identical on or off contract, nor get an early adopter type discount on the phone... the full price of the G1 is only barely higher than the price range you gave for the E70. Why on earth would I pay as much as $300-$400 for a phone that is, in my opinion, only useful for voice+messaging?
There is absolutely no cost analysis of the E70 that would make it worth my while to buy one, nor worth my while to have picked one over the G1. NONE.