Having owned three K800i phones - and back to one of them now, and sharing use of an iPod Touch, and played with the iPhone, the K800 is way way faster to navigate and operate with one hand. Just today, I checked my gmail, while listening to the stereo FM radio - and took some calls, all with one hand - on my bike. One can navigate music on it very quickly. The music navigation on the iPhone/Touch is a pain, just as it is on the iPods. There is no faster way to navigate information than using a DPAD or good joystick. Having owned about 50 phones (sad), where the iPhone and Touch do score is in browsing visual media, like photos, video etc. It is also way easier to browse web pages on the K800i, as it doesn't require zooming in each time, it formats the text perfectly.

And the camera is still one of the best.

Don't get me wrong, the iPhone is amazing (as is the App Store), but tactile navigation is (I hope) never going away.