The original iPhone generated a lot of interest in India, selling well on the grey market, so it went to reason that when the 3G version launched officially in the world
In US, the data plan subsidizes the cost. In India, it doesn't because lock-ins are not allowed. Then there is the network lock. Finally, the lack of 3G. Smartphones have yet to become mainstream in India. I personally recommend iPod Touch. It has the same feature but lacks the mobile phone, 3G and GPS. So carry your existing mobile, don't swear at 3G and find your own way around town.
In US, the data plan subsidizes the cost. In India, it doesn't because lock-ins are not allowed. Then there is the network lock. Finally, the lack of 3G. Smartphones have yet to become mainstream in India. I personally recommend iPod Touch. It has the same feature but lacks the mobile phone, 3G and GPS. So carry your existing mobile, don't swear at 3G and find your own way around town.