My iPod Touch makes me money as a portrait and wedding photographer. The photos app is a portfolio in my pocket. I have lost count the number of clients I have picked up by showing images while out and about town. I also daily use the email, web browser, calendar, contacts and, of course, the iPod function. It mail not be a phone, but with WiFi, you can still do everything else (no cam either).
Negatives: Notes can't sync to desktop, no copy/cut/paste. No "to do" app built in.
The add-on apps I also use: WeatherChannel, facebook, twitterific, PhotoCalc, iHandy Level, Wordpress and Light (it makes a great nightlight/flashlight).
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