When you go to buy a phone, do you look for software or hardware? I think the answer varies for different people.
Personally, I don't know what drives me.
I've only really made a choice to get 4 phones in my life:
1) Generic AT&T brick. Cheap and it worked.
2) Motorola flip phone from way back. When it was time to upgrade, this was within my price range and small.
3) Treo - I had various versions of these, but only because my bix partner gave it to me, so when it would fail, I'd get a replacement. I had this phone for many many years.
4) iPhone - I was wowed by the ease of use and how it seamlessly integrated with iPod, something I already used.
I'm not a guy who's got a cutting edge phone all the time. I'm happy with the iPhone and when the battery eventually fails, I'll probably get on board with a newer model, but think I have another year or two left on this one.