Imho the battery depends on what you're doing with it - My battery didn't even last the day when I first got the phone, mainly because I turned everything on and plays with the phone a lot (of course la right, new phone!).

To me the touch screen is one of the most responsive out there. I've tried HTC Touch with a major disappointment. I don't quite get what you mean "not so perfect". Maybe you can elaborate more in that?

Disadvantages that I can see so far:
- Bluetooth - only restricted to bluetooth hands-free, and it doesn't support A2DP for stereo output. You can't send/receive/sync files with iPhone's bluetooth.

- Camera is so-so, although image quality is decent, it is very basic (only capture). However you can install 3rd party app like Snapture and get more features like digital zoom, black & white, resolution selection, burst shot, etc.

- Limited in customization for not very technically inclined users, unless if you're willing to dive deep into the WinSCP/SSH world, then you can do wonders

To me, if you're looking for an ipod, and don't want to carry 2 devices (ipod, phone) in your pocket - then the iPhone would be a good choice. If you're looking into cutting edge technology (3G, 5mp camera, etc) then maybe iPhone isn't for you.

iPhone is more towards usability improvement for phones, rather than "putting every latest technology into one device" like what most other smartphone manufacturer is doing.

There is an app to copy contacts from SIM to the phone right

As for me, I sync my other phones to my PC's address book, then sync it back to iPhone via iTunes (also my PC serve as my contact list backup)