Given the iPhone came out 2+ years later then the N770 it should better it in many many ways! But until the iPhone is *truely* open, it won't have a place for many people like me. (And I'm not talking about a promise of an SDK and developer verification).

I have several friends with iPhones. I agree the accellerated UI is slick, and out of the box it does have better apps. But after a couple of weeks of Coverflow, *****ing about the Edge network, and Jailbreaking they do lust after what the N8X0's have openly available. Rhapsody, VOIP, OpenVPN, Subversion, Claws, MicroB, MaemoMapper etc.

Hardware-wise there are some things also.

a) The screen. 800x480 is a lot different then 480x320. I've pinched and squeezed enough to know that more reslution is always better in this respect.

b) Video cam. Nokia certainly fumbled with this to start, but it finally sounds like we're getting some support. (At least H263 over SIP which is fine with me to start ) If they continue working on this and combine it with a user friendly service, that alone would make it "the" unit for some people. For now even using Motion to make the N800 into a quick wireless webcam is very slick.

c) And now the hardware keypad, which many people consider a top priority.

Now Nokia just needs to concentrate on some fantastic video drivers with truely optimized 2d/3d accelleration. Then just let the "community" make coverflow 2.0

Of course I agree with you though, people should try them both. But more then that, make a list of what you really want to do with a mobile net device. For me that makes it a no brainer.