DO NOT get an iPhone, yes it works as it's supposed to, but you'll get far better hardware for your buck if you go for the cheaper AND more powerful Samsung Galaxy S2, or wait until they release the S3. The interface is a little more complex for the Galaxy, but it's far more cosumizable than the iPhone, and a lot faster.
well I love my iPhone, and have never felt like the hardware wasn't good enough. i appreciate the simplicity and have no interest in customizing.... absolutely no complaints. I'm not saying you need to get an iPhone, but don't rule it out because it's not powerful enough! it's certainly powerful enough for me!
it comes back to this question we see over and over again... this mac vs. pc type thing. it totally depends on what YOU want and YOUR priorities. if you need customization options and more power and stuff go with Galaxy. if you like simplicity and reliability, go iPhone:)
With that budget I think yo could pick up an iPhone... I only recommend it because I have one and it's amazing. As far as being a phone, I always have service and my phone calls are always clear (incoming and outgoing).
As far as apps and stuff it really couldn't be easier to navigate, and there are so many apps to choose from it's ridiculous. There really is an app for everything. That is why I chose it over a droid phone. Smart phones are app based products, so you really ought to buy the one that has the best app community, if you want to get the most out of it.
it comes back to this question we see over and over again... this mac vs. pc type thing. it totally depends on what YOU want and YOUR priorities. if you need customization options and more power and stuff go with Galaxy. if you like simplicity and reliability, go iPhone:)