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More than just a regular cellphone, the Apple iPhone has several features which help it stand out from the crowd, we go through an overview of them:

Phone Features:

The iPhone supports features like conferencing, call holding, call merging, caller ID and integration with cellular network features and functions. For example, when an incoming phone call is received, any music currently being played will be muted. Once the call is completed, the normal music will resume.

SMS text messages will be displayed similar to an email inbox, and can be sorted by topic. In addition, text messages will appear as message "bubbles" under each users name. Together with cellular operator AT & T Mobility, formerly Cingular Wireless, the iPhone has the ability to display voice mails in a "Visual Voicemail" format. This allows users to see voice mails in a graphical manner and be able to play voice messages at will, rather than the typical chronological manner that is currently offered by cellular operators. The iPhone supports the Bluetooth 2.0 wireless standard, meaning users can use compliant cellphone headsets for hands-free operation.

Camera:

The Apple iPhone features a 2.0 megapixel camera on its back panel. The iPhone can not record video at this time. The iPhone also includes software which allows users to edit and email photos. This software also communicates with the iPhoto software on Mac computer.

Multimedia Capabilities:

Featuring memory capacities of 4 gigabytes and 8 gigabytes of flash memory, the iPhone features adequate storage for digital music collections. It incorporates a new digital music library system which makes it easier for users to sort through their collection.

The iPhone can offers video playback, giving users the option to watch movies and TV shows. The videos play while the iPhone is in a landscape orientation.

Internet Access:

The iPhone has built-in Wi-Fi wireless networking and is able to connect to the Internet using a modified version of Apple's Safari browser.

It can also access a 2.5G EDGE telecommunications network to access the Internet.
While the iPhone does not have support for the 3G high speed communications network presently, Apple has said there are plans to add 3G support in future versions. The Apple iPhone provides support for the IMAP and POP3 email protocols giving users the ability to check and compose emails on the device. At present there is no enterprise connectivity, other than the 2 email protocols listed.

Battery life:

The iPhone has a built-in battery which provides robust usage for the device. It is not intended for the user to replace. The battery is listed to be capable of providing up to 7 hours of video, 6 hours of web browsing, 8 hours of talk time and music playback time of 24 hours. It has up to 250 hours of standby time.

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Source: http://ezinearticles.com/?Apple-iPhone-Features-Overview&id=789390