Why is everyone crying over $89 bucks, when you can spend $69 on the Applecare? Applecare is a no brainer on the iPhone, tech support plus battery replacement/ iPhone replacement. Apple is awesome about taking care of our customers with Applecare. I've had a 17" iMac G5 replaced with a brand new core duo and my RAM matched to the latest style for no additional charge. They let me upgrade at the factory level before placing the order and I recieved it in 4 days from Taiwan. That's customer service! iPod and iPhone are the same way, $600+$69= no big deal, IMHO. Save yourself the inevitable fee and get Applecare instead.