I've had my fair share of Apple 'enthusiasm' (lol), but saying the iPhone is just a touch screen iPod/phone is kind of missing the point. It's like saying an iPod is just an mp3 player, iTunes is just a music file manager, iPhoto is just a photo organiser.
Which of course, they all are. But the point is the unification of a everything Apple. They all work together pretty well, generally no muss, no fuss. Anyone who has used any one thing from Apple, be it software, hardware, or whatever, may look at it 'see' that it's nice, but just move on, wondering what the fuss was ever about. And this is true too. However, it's more than that for those who LIVE Apple products - and by that I don't mean Imastalker and me who, on the outside just seem like crazy mac fanboys (there's a reason for our madness). What I mean are people who use Mac OS X as their primary OS, their homebase and iPod/iTunes for their music playing needs, iPhoto for their photo management etc. All these tools come together remarkably well when you're not dealing with anything else. Of course, you can find other tools that do the same job, and maybe even better, but often these require a bit of tooling around, creating an unintuitive work flow or what have you. Only people who use all the programs and hardware begin to realise what the fuss is, and that's integration and general ease of use. Of course, anyone can do stuff like drag a music file or photo over to your media player, but what's easier than the Apple way, of doing nothing but plugging it in? I know there are a lot of control freaks out there wanting to handle their files their own way, but one of the best things ever for ME, was giving all that stuff up when I used iTunes and iPhoto. I just deal with the output, which is music and photos, not where they are on my drive.
In the past month, three more people in my workplace have 'made the switch'. None of them are strong, technically minded in the ways of computers, but each of them are loving (for the most part) the user experience of the software. The little details that most think are just 'cool' gimmicky touches that noone will ever use are actually really useful tools (like front row, dashboard). iLife has made sorting through photos and music fun. Stuff like that.
I may have gone a bit off point, but what I'm trying to say is that this philosophy in user interface and design is sure to carry over to the iPhone. Behind all the hype is a Apple's history of pulling stuff like this off extremely well. I know technically, the iPhone is a bunch of 'existing' tech. But it's more than the sum of its parts. Also, mark my words, the safari integration will prove to be one of the most important aspects to the iPhone.
And for the record, I'm not getting an iPhone for a number of reasons. First and foremost, is the fact I can't get it nor will it work here at the moment. Second, it's not really a product for me. I like my phone to e small, and unintrusive. The iPhone is slightly too large for my needs (and probably delicate). I have an iPod. I have a laptop (which I carry most places). I have a camera (which I also carry most places). While all the features are cool and all, the features I like most are the media storage/playback, which I'm sure will eventually make it to the iPod in some form or another. So, instead of waiting around for a product I have no real need for I just bought a Nokia 6300, which in all it's simplistic beauty is also a very capable phone that does exactly what I need (make calls, text) in an elegant package (and also has a fairly iPhone-ish design about it, which made me raise an eyebrow).