I would have grave reservations about this, particularly depending upon what you are expecting it to be ('basically an Iphone')
Does it Sync with Itunes? What about syncing email either via home accounts or an Exchange server?
What operating system does it run? What web browser? Despite having 3G in the name, does it work on 3G? How does the operating system get updated? I cannot see Apple allowing their o/s to run on a non Iphone, and they are always stopping people like Palm from getting their non iphone devices to Sync with I tunes, so I cannot see how they would allow what are the major functions of the Iphone to run on a cheaper device.
I fear it will be something that looks like an I phone, but thats all. If it does not run the Iphone operating system then presumably you cannot use Iphone apps (there's an app for that....)
I guess it depends what you expect from it.
If you get it then it would be interesting to hear your experiences. I would love to be proved wrong.