Wow I'm glad I didn't run out and buy an iphone. The early adopters who paid $599 for an 8GB iPhone wasted $200. OUCH! That's right, you can get an 8GB iPhone for only $399 now. Its still way too expensive in my humble opinion.
I'm holding out for a GPhone. :-)
UPDATE: Apple is offering $100 store vouchers for those who bought an 8GB iphone at the higher price. That's nice of them, don't you think?