I personnaly don´t pay more than 60-80$ for something I carry around all the time and might drop or lose.
My cell phone ~ 60$
My mp3 player 30$
If I wan´t to watch videos on a train I´ll take my PSP, but that has a case and I take good care of it. My phone gets dropped all the time and I forget it at places, my mp3 player... well I´ve done about everything to it, including washing it.
Problem with the Iphone is I would have to carry it all ofer the place since it would be my phone, if I knew I wouldn´t lose or brake it I´d play 200$ tops.
Exept having a phone and lots of storage space on it, what makes it better than a PSP ??? My 4gig PSP is great for games and videos, since I have a cheap mp3 player I don´t see the point in having one item that does it all. (And loses all when I break it... which I guess I would)








