I got the Tocco a few weeks ago. It was an upgrade from Vodafone and only cost me 99 euro. I simply couldn't justify the expense of the iPhone since I don't use it for business - and not much at all. Nor do I want to move to O2.
I actually wanted the Samsung Soul but Carphone Warehouse didn't have it in stock (and the useless Vodafone shop couldn't answer basic questions about it), so I ended up with the Tocco.
It's a lovely design and quite compelling to use. Curiously the battery life is fine normally, but when I was in the UK, bizarrely it kept running flat despite no extra usage. I'm not a great texter anyway, so I can't say it slows me down much but I can see how it would if you were really fast at it.
Worst things about it: poor instruction manual (I had to google on how to change the message alert tone; it's in a different place entirely to changing the ring tone); too easy to touch the "browser" icon in error and cost yourself 25c; too easy to touch Directory enquiries in the phonebook and cost yourself 75c.
Best things: small, natty design, 5mpx camera, bluetooth.
If it's for business use, or if you have to pay full whack for the Tocco, I'd say go with the iPhone. Apple does these things so well! (I have ipod and a mac mini so can vouch for that).