That's why my phone of choice is a simple LG VX5500. I make and receive phone calls on it, send and receive SMS/TXTs, and use the alarm to wake me in the morning and remind my of my BP meds at night.
I've got a first-gen iPod Touch for an MP3 player, a few games, a great HP-16C calculator app, an SSh app, and a browser.
Would I consider upgrading to an iPhone to combine those features into a single device? Sure. But not with AT&T. When Apple provides Verizon support, I'll consider it.
I live in So Cal and had zero problems with ATT/iPhone...no dropped calls and almost always 5 bars of 3G...must be a regional thing...