While some people felt that the iPhone would crash and burn, it has in fact done quite the opposite. Of those in America that own mobile phones, 28% own an iPhone. While most people would wonder how a very expensive product isolated to a single network could possibly sell so well, market analysts see this rather large market share as a wakeup call to mobile phone manufacturers. Hopefully, we'll see less generic phones in the future, and more phones that will seem to be works of art more than tools of necessity (for some more than others, obviously).
Source: Neowin.net