I actually bought an iPod touch for exactly that reason. I'm really not a phone user (I spend $5/month on cell service), so buying an iPhone and spending the mo

I actually bought an iPod touch for exactly that reason. I'm really not a phone user (I spend $5/month on cell service), so buying an iPhone and spending the money on a data plan does not appeal to me. For my purposes the iPod touch is everything an iPhone does that I'd want, for $2000 less. The only time I regret it is when I'm traveling, and I'd find it useful to be able to access the internet. But this is rather uncommon. Honestly, I would be happy to spend extra money on an iPhone without the phone bits. The camera in the iPhone is much better, and the gps would be useful even without an always-on connection.