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