If you're thinking of heading to an AT&T store and ponying up the $499 (or $599) for an iPhone on Friday, you should probably take a gander at this. Walt Mossberg of the Wall Street Journal has had some private time with the iPhone and he's relayed his experiences in his column:
In spite of his usually positive view of Apple products, Mossberg did notice a few quirks with the iPhone. For instance, he complains that there's no way to cut and paste text, and that stopping music playback or changing songs while carrying out another task forces one to tap back to the device's iPod program. Multi-touch input also requires users to switch to a different keyboard to insert commas or periods. Last, but not least, there's no way to buy songs directly from the iPhone directly via the iTunes Store. Nonetheless, Mossberg points out that expectations for the iPhone are so high "it can't possibly meet them all," and he concludes that the device is "a whole new experience and a pleasure to use." Well, it's understandable that the iPhone can't do all the crazy things people hoped it would do, but no cut and paste functionality? WTF?

This David Pogue's review is also pretty good: