Is the iPhone really worth all the hype?

With all the talk about the iPhone and everyone chomping at the bit to get one. I wonder if it’s really worth the expense to get one, especially the first generation? For a couple of years now I’ve been looking for the perfect portable device that fits all my needs:

• I take a daily photo with my Casio EX-240 and post it over on my personal site (www.facesofme.com). So I need a device that I can take a decent hi-res photo (2-3 megapixels) with an removable memory card.
• I listen to music all day long, whether it’s at my computer or with my iPod while I’m on the move. So, it would be nice to have a device that could at least old a few hundred songs and makes it easy to sync with my computer.
• I need a phone. I don’t have a land line phone so I depend on my cell phone for phone communication. I usually don’t go over 600 minutes month.
• The device needs to be small enough to fit in my front pocket, comfortably. And, be tough enough to handle regular daily abuse.
• Currently, I don’t check the web on my phone, nor do I use it for email. However, I would like to, especially to look up info on the fly and keep up with important email.
• Ok, so this is the biggie that keeps me looking around. If I had a phone that met all of the above needs, which there are several of them out there. I would need it to have a battery life that equals that of my current iPod or camera. I’d be satisfied with 8-10 hours.
• The last thing is that I need to feel like I’m not getting rapped by my mobile carrier. The perfect plan would be some sort of ala carte that allows me to pick services and hours based on my needs. I currently spend a little more than $45 per month with Sprint and am happy with the price (service is another thing).

So, looking at the iPhone in comparison to what I’m looking for, it doesn’t look to bad. I think there are only two downsides to the iPhone that I can find:

1. The cost, it’s damn expensive, 4GB ($499) or 8GB ($599) and the service plans are more expense than normal.
2. It looks as if apple is trying to force you to use iTune for music and movies. I don’t use iTunes now and don’t plan on starting anytime soon. I want the flexibility to either, manually move media to the phone or sync other software (Winamp or Songbird for example). Unless I’m mistaken, the iPhone is restricting this.

Conclusion- I think when the iPhone hits the stores next week, there will be a mad scramble for the Apple Fan kids to get the phone. There will be a supply issue and I’m sure some will be sold on ebay for twice what they’re worth. But, after the smoke clears, Apple will come out with a second generation iPhone by early next year that’s better and cheaper. Additionally there will be new phones from competitors that will rival the iPhone functionality. I think I’m going to take the wait and see stance.