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I believe to upgrade you'll have to extend your contract for 2 years again (which is total BS BTW).

Differences between the two are GPS, 3G and size, 3G being thinner. I've seen arguments saying that chipset in 3G is faster but have not seen any proof of that. 3G costs more per month as well.

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Keep your 2G! I upgraded to the 3G when it came out, and wish I could go back to my original version. Sure, the internet is a little faster, and it's nice to have GPS built in every once in a while, but the phone part of it (as in iPhone) sucks! The 3G service is terrible, and at least 50% of my calls are dropped.

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In terms of hardware, the only difference between the 2G and the 3G is the addition of AGPS and a 3G cell radio. 3G stands for third generation, and is the most recent GSM network standard to be employed in the US. It supports theoretical downstream speeds of up to 14.4 MBps. That means when using the cell network for data transmission the 3G phone will be faster loading pages than the 2G. Take a look at

, about 1 minute in to see a comparison.

 

Rendering times when connected to wifi are unchanged, so unless you spend a lot of time consuming data on the cell network, you won't notice much of a difference.

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I guess it really depends on the 3G signal strength in your area ,I live in NYC and it works great for me ,I haven't experienced any dropped call issue .

 

I had had 2G for almost 2 years before I switched to 3GS last month ,the difference is huge to me ,faster OS ,faster internet speed ,more apps to run on 3GS ,and I also use the phone camera a lot ,3GS provides a lot better picture quality ,camera quality with 2G is just a joke to me.

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