Picked up an iPhone 3GS to replace that of my iPhone 3G that I already have had for sometime. The existing phone was purchased outright and was locked with Telstra. It was on a Telstra cap, and the amount it cost me was certainly not competitive.
I managed to get a new phone on a plan that includes more for less then I was paying with Telstra using my own phone. Go figure.
iPhone 3GS seems a bit different so far, in fact better then previous model. Had considered to get something else, but kept coming back to the iPod which can be used for audio/video playback. Both handy features for a phone device all in one unit.