I was reading http://www.macrumors.com/ (macrumors) just now and found out this cool article on some guy who is selling iPhone 2G Prototype that really works. It seems to be pretty cool as well. I recommend you to check it out
So my say is that if you're going to buy an iPhone here (unlocked , by paying RM 2.5k and so on) it would be just better to buy the prototype (thats just how I look at it)
Its because iPhone team was divided into two , one team which came up with the software and the other one with the hardware. Both of them don't know how would the software/hardware would look it
What you're just seeing is the prototype of the iPhone OS. Its not the final product yet
There were only two iPhone prototype surfaced on the net and was purchase by a forummer in MacRumors, apparently 1 is working and another is not. The interesting part is that it was built 6 months before Apple/Steve Jobs announced it.