I wasn't going to get an iPhone; I'm not a phone or Apple fetishist and it seemed awfully expensive. But thanks to some friends I ended up with one, and so far: wow.
The out of the box experience is fantastic. Great packaging, the battery was already charged, Apple even managed to get AT&T/Cingular to do a good job on the signup workflow. I was up and running in a few minutes.
And the phone UI is really impressive. I haven't felt the need for a manual yet (good thing, there isn't one in the box). Phone calls, email, web browsing, all easy to set up. The Internet options are good enough I think I can leave a laptop at home on short trips.
Some things are awkward; I wish it had more native apps, I don't like the Home button, ... But overall it's a very impressive product experience.