[sternlight]

It isn't clear that AT&T upgraders will have to pay the full freight. If you check your iPhone account on AT&T's web site, they say that you are eligible for an iPhone upgrade on a date that appears to he 1 year after you signed up.
Most of their past non-iPhone phone upgrades have been at advantageous prices (except for Amazon's new phone plans which are usually even cheaper), and you (at least in the past) get to keep your existing contract. Let's see what they do before jumping to a pessimistic conclusion.
At least in LA, EDGE is often glacially slow (well below its specs) and frequently doesn't respond at all even with a full signal strength. 3G might be worth it in such areas,

[airhead]

AT&T here in Phoenix has the best coverage of any service I've ever used, and I would buy the new iPhone if my service plan didn't have the monthly increase. I just don't want to shell out the extra few bucks on that phone bill. I might even look into a new phone with a lesser monthly charge.

[millertime416]

I sold my iPhone a few days before WWDC and was planning on buying a 3G model the second it came out. Then came...a one month wait, inferior build materials (i.e. plastic back), no at home activation, a $10 month service increase (I have an apple store in my area but no 3G coverage), no storage increase, and few if any other discernable improvements?

Less than 5 hours after WWDC, I repurchased a previous generation iPhone off ebay. So no...I will not be upgrading anytime soon.

By far the most disappointing Apple unveil I have ever witnessed (and the stock market seems to support this fact).

[tony]

"Only" four more years until Apple's exclusive contract with AT&T expires. How depressing.

[hillstones]

No way. I like my 16 GB iPhone. I don't need 3G speeds, especially if it costs more, and drains your battery faster. I like the sturdy feel of the original iPhone. Not sure of the plastic back on the new model. White? What were they thinking? I am looking forward to iPhone 2.0 and the App store. I could care less about GPS in a phone, I already have it in my car.

[edden]

I will be upgrading. I think im like 1 out of 50 that will but I do think its worth it.
I just got my license and I always have places I go to (such as a friends house) that I do not know how to get to. The maps application helps a lot. The GPS would make things that much better. Especially if im at a party and take a picture. The geo-tagging will work well there
I live in a place where there is a very good 3G coverage. So that is good.
Plus. It looks so cool. =p

[houphon]

The short answer is NO. not unless it breaks and becomes unrepairable then I may look at another option.

. People seem to get so insane having to get the latest technology right now. The gps is not a turn by turn system. In fact I think the SDK specifically disallows that so whats the point.?,.get a compass and a map.

The upfront cost may be less but one will be paying and extra $10 which is only useful if you are in a 3g area and I have heard that SMS will also be extra.

If one is going to stay in Edge country then there is no point in camping the night to get in line to be one of the first geeks to get your hands on this new gadget.

[ktula]

I am on T-Mobile and the T-Mobile's 3G (1.7 GHz) is not on a spectrum supported by the 3G iPhone. After suffering horrible drop calls with the original iPhone on AT&T's network, there is no freaking way that i will ever go back to them. So there is no compelling reason for me to upgrade my current iPhone.

[RickH]

I don't have an iPhone now. I was going to get an iPhone 3G, but I may wait. Why? Well, I really would rather have a 32GB vs. a 16GB phone. I am guessing Apple will have a 32GB within 6 months of July 11.
I know some of you don't like the plastic back, but would you rather have a plastic back getting more bars vs. the old backs getting fewer bars.
I also wanted a better camera with video.
I am NOT happy with the increase in the data plan, too.
In conclusion, I think I will keep my Motorola for awhile longer.
BOO! I wanted to get an iPhone!

[nickfila]

well i have personally been in love with the iphone since its debut in 07... but decided to not get one because i was worned not to go with the version 1 product so i decided to go with version 2.. i have been waiting for a year and i am somewhat disappointed with the storage and camera but am confident that 3rd part apps will fix most problems with the software such as copy and paste. so yes i will indeed purchase the new iphone 3G 16gb and trade in my blackberry curve

[harlemisback212]

I just lost my iPhone last week in a cab. I felt like crap the whole week and I had the phone since June 29th. So i guess I will be buying the 3G version but I would rather have the original version because I don't like the new plastic back.

[distortedloop]

"By far the most disappointing Apple unveil I have ever witnessed (and the stock market seems to support this fact)."

Most of the stock-related sites I've read suggest that other than the normal sell-the-news reaction Apple always (usually) experiences after a much anticipated announcement, the sell-off was more likely related to Steve Jobs' appearance and fear that he might be truly sick (cancer) again. Many investors/traders perceive Apple's health directly related to Jobs'.

One of the TWIT folks said that the price started falling as soon as Jobs walked on stage looking all guant and frail. You'd have to pull up time of day charts to validate that.

[DanGJR213]

No plans on updating either. Not sure I want to wait in line again for little improvement. It feels like just yesterday I waited in line for 12 hours for the first release. (Wow can't believe it has almost been a year already) I feel I already send the AT&T enough money a month. My phone bill is $245 a month and don't want to see it go up $20 a month. I know that if I upgrade, my fiancee will want too as well. Although I would upgrade if they released a larger model seeing as how my 80GB iPod just broke last week. Now I'm stuck listening to CDs at work.

[flynifr]

I couldn't agree more. I love my iPhone but will wait until after Macworld 2009 to see if a 32gb model comes out.