I seriously doubt that considering wiretapping without your consent is all kinds of illegal.
I wouldnt mind an Iphone they seem kinda cool, but I refuse to use a phone on At&t/Cingulars network. My personal experiences with them have led me to belive that there customer support center is handled by a bunch of monkeys.
Funny thing, there was a site on the net that was showing people how to "sling" your telephone service on the Iphone to a different carrier using the Wifi abilitys as modem and doing a VOP kind thing. I dont know the technical details but apparently with this service you could get a unlimited data plan with like verizon, install the software on your Iphone, and then have the Iphone connect to Verizons network through the data plan.
it worked pretty well from what I heard too, but Apple patched it so it doesnt work anymore....and then AT&T sued the hell out of the guys who wrote the program.