Ah so you aren't a cell phone user. In that case I understand

Though I do remember hearing "You can apply any phone plan to the iPhone". Unfortunately, their smallest package is $39 for 450 minutes, with no data...

I do see where you're coming from, I would love a video iPod with Wifi and all the same features minus the phone.

Edit: In regards to the plan stuff, I believe you can cancel out of the contract and apply the iphone data plan alone, which is $20 a month. Edge sucks badly though

So $599 + 175 to get onto a $20 a month data connection (although very slow). Its also stated that it just needs activation once, so the iPod features should work just fine without voice services. I'll try to find the link that cites that, but it was pretty clear.

That said, I wouldn't get the iPhone if I wasn't using its voice capabilities. I'd prefer a device similar to my N800 or Foleo.