$500 (4GB); $600 (8GB)
Although it won't hit stores until summer, the iPhone is already the most talked-about touchscreen in town. The multi-touch display will feature visual voicemail, "soft" QWERTY keys that predict your words, Safari Web browser and, of course, music and videos. But alas, no external memory card slot or 3G capability. Still, early users swear by its ultra-friendly user interface.