Hey Guys, just got the iPhone and thought I would share this information. I have only used it for a couple hours now but plugging it in using the iPod cable does not fry the battery like some post I read said. It works just like my 32GB iPod did.
My excitement comes from realizing that Last.FM app works through the connector!!!! Just hit the video source with the last.fm app running and you will be able to get excellent quality Last.FM music through your head set. If only it charged the iPhone i would be in heaven!