1. The old Storm has a tactile clicking feeling that the new one (by all reports) will not. The IPhone doesn't have it. I kinda like it but it looks like it's going away.
2. Both have new models that are either not quite available yet (the Storm II) or are only barely, and they're both overpriced at the moment because of it. You can get into an older IPhone for $99. And that's a darn nice phone.
3. The Storm II will have Wi-Fi.
4. It's Verizon versus AT&T, at least at the moment. Verizon has the better coverage where I live and I think AT&T might have the better phone. Annoying.
5. Buy-out for either carrier is minimal if you're near the end of your contract.
6. The Palm Pre is getting rave reviews, just to make things even more difficult, but (for me) T-Mobile isn't an option, more's the pity.
So I'm going month-to-month on my current contract and waiting for a couple of months. I think any of these phones will do and so I'm waiting for one of the carriers to offer me a deal I can't refuse.
I have a weird friend who just asked me which one is the better telephone. Telephone? You can make telephone calls on these things? ;-)