It does fold all the way back.

I love clamshell on the regular phones, but yeah, 3 letters on a button is going to be crap compared to virtual keyboard, and without them it's just the numbers, which hardly justifies all the space used. Love the camera/video abilities though. Still... clamshell ftw. What I'd like is a dual screen clamshell design!
Though I've heard crazy stuff about Japanese schoolgirls and their speeds at typing with phones' number keyboards.







