Scott: I Just Went Through This Wednesday With ATT. Apparently You Save Over $100 If You "Lease" The Phone And You Don't Have To Pay The Extra Monthly Fee That You Do If You "Bought" The Phone. Also, I Called Tech Support For My iPhone 4 That The Touchscreen Went Out. He Said I Was "Lucky" I got Three Years Out Of It; The Normal "Life Span" For An iPhone Is Around 2 Years, Now. So If You Bought Instead Of Leased, You Would End Up Paying More Money And May Have A Phone That Quits On You After 2 Years.
