I am not a big fan of the iPhone ever since the launch and really have thought that Apple has in some ways been misleading public (eg. pricing and specifications / performance of the iphone in comparison to the competitors).
Anyway.. As much as that seems like a contradicting statement, I have actually bought an ipod touch (which is basically an iphone - without the phone).
since then I have been checking out a lot of the demos and apps that the Ipod Touch / Iphone offers and some of them are very remarkable.. The use of the accelerometer has to be one of the best things on it (since the ipod touch/iphone lacks keys to really play games or do things)..
For example - Crash Bandicoot racing is really nice (the graphics are about the same as the accelerated N95 version) but the control by tilting to turn the car is fantastic.
Other games like Poker Dice (yahtzee type thing) by shaking the ipod/iphone to throw the dice has been pretty cool.. and Monkey Ball is fun to play..
The N95 has equivalent stuff - but because Nokia's refusal to standardise their handsets with this sort of hardware is really forcing the software makers to include this sort of functionality.
Finally - the 3D Acceleration.. This has been talked to death on this board and I really raise objections to Nokia dropping the support for this useful feature.
The Iphone/Ipod Touch uses the hardware acceleration to render 2D stuff on the screen (eg. magnifying a webpage in safari or zooming in on pictures). This functionality can refine the interface dramatically by making things more seemless between the screen displays - whether it is zooming or flicking between things.
I guess it is this definition that makes the Apple UI seem so classy - unlike N95 pausing (to wait for the processing) before flicking to the updated display.
Mind you - I am not an Iphone convert by a long way. I still love my N95 with all the functionality of it all still triumphing over nearly every phone on the Current market. But if Nokia wants to stay in the lead against the competition, then these factors seriously need to be thought about.
For now, the best of both worlds (for me at least) is to have my N95 and Ipod Touch (which is my equivalent to the new category "MID" - mobile Internet Device).