26 - 1% Of the Cell Phone Market is 10 Million USD

In a statement by Apple, it was said that if they grab just 1% of the cellphone market with their iPhone, they stand to make 10 million dollars. This statement, and the fact that the phone is exclusive to Cingular, leads me to believe that Apple wants this phone purely to make some coin on the side. And the price ($499 for the 4GB/$599 for the 8GB, both come with a 2 year contract), for that price just go and buy a cell phone that you actually want, and a 4GB/8GB mp3 player. You will pay, in most cases, less than you would for the iPhone.