I wouldn't back down so much if I were you. I think its entirely possible the iphone wont sell quickly enough for prices to drop, at least in its current incarn

I wouldn't back down so much if I were you. I think its entirely possible the iphone wont sell quickly enough for prices to drop, at least in its current incarnation. For all the hype about the iPod's interface these days, I remember the thing that got it going was huge storage and slim design. It was and still is great at playing and storing music. And while I'm ranting about it, I think the iPhone is a missed opportunity to put in a decent camera. I think about a 5 megapixel camera with flash is mostly good enough as a snap camera for people these days, and people would have justified the extra cost to merge those two devices.