here is the list of drawbacks of iPhone if you are ok with this list then you can buy it....
1) CANNOT record video clips -
i can, install app for it.
2) Doesnot support flash in web browser -
anyways flashy images annoys me..:16:
3) you cannot view any and all videos from youtube -
what u mean all? i think u can view all. it has seperate yourube application.
4) Does not support INSTANT MESSAGING. -
got installed gtalk.. 
5) DOES NOT SUPPORT STEREO MUSIC STREAMING THROUGH BLUETOOTH HEADSETS, -
if bluetooth head sets will be compatible, i think it will not be able to deliver the best sound quality as through earphones and headphones. Music is the best feature i must say.
6) You CANNOT LOAD YOUR OWN 3RD PARTY PROGRAMS-
i did tht. who said we cannot load 3rd party programs. Jailbreak your phone.
7) DOES NOT HAVE ANY GAMES. Games from the iTunes store are not compatible. -
still not used. but i have seen many ppl using it. I willl try out and let u know. But thts for sure tht u can play lots of games. And its accelrometer enabled games are just mindblowing.
8) you CANNOT CUSTOMIZE YOUR RINGTONES WITH MP3 SONGS-
during an incoming call anyways u dont listen whole mp3 songs. for short mp3 clips u can install. its working for me. normally,,
9) CANNOT USE VOICE COMMANDS OR VOICE RECOGNITION OR VOICE DIALING. -
practically i never use it in any phone.
10) The keyboard supposedly isn’t a real bother after you get used to it, but TYPING PERIODS AND COMMAS ARE A PAIN IN THE NECK, requiring you to go to a 2nd screen each time. Given that you use a period or comma in almost every sentence you type, this is NOT CONVENIENT. -
practice makes man perfect.
11) you CANNOT SEND PICS TO OTHER CELL PHONES VIA MMS PICTURE MESSAGING. -
mms is not free.
12) You CANNOT FREELY USE THE iPHONE ON OTHER CONTINENTS WITH SIM CARDS (depends on network) -
forget abt other continents. in India its working. :lol:
13) You CANNOT DOWNLOAD OR ACCESS ITUNES DIRECTLY from the iPhone, you always have to do it through you PC or Mac’s iTunes program and then sync files. -
never tried as its not free.
14) You CANNOT USE IT AS A MODEM -
laptop is there for me. 
15) The iPhone CANNOT GET REAL-TIME GPS MAPPING . -
not sure. but i think we can.
16) You CANNOT GO ON VACATION OR ROAD TRIP WITHOUT YOUR CHARGER because it doesn’t have a removeable battery, so you cannot use multiple batteries as back-up or spare. -
well almost all phones company does not give extra battery. all the people do not carrry one extra battery for nokia or moto or any brand phones. why to think so much for this phone? carry a charger lol simple :lol:
17) No memory card -
get 16gb if less.
18) It does not support 3G -
mine is 3g.
19) you may have to buy another accessory to connect the iPhone to speakers, car radio, etc.-
in all other phones also u have to buy additional accesories...
20) not all earplugs/headsets will fit into the jack since it’s reported to be a extra deep connection. Be ready to add $40 to your purchase price! -
3.5 mm jack fits in it.
21) You CANNOT WALK OUT OF THE STORE WITH A WORKING iPHONE - you’ll have to go home and activate it through iTunes.com(depends) -
thts not a problem.
22) Since the iPhone DOES NOT HAVE A REMOVEABLE BATTERY, and the expected life is 300-400 charges, you’ll HAVE TO SHIP IT TO APPLE TO REPLACE THE BATTERY EVERY YEAR OR TWO just like iPods. -
not sure. lets see.. will update this post when i will have problem related to battery. 
23)You CANNOT COPY/PASTE ANYTHING! -
install 3rd party software.
24) It does not have a simple FM radio. -
additional accesory needed,
so if you are ok with these things then no problem you can buy.....