The Droid first of all is a better phone. The clarity is second to no other phone I have used. The screen is big...bigger than Iphones screen. It doesn't crash all the time. This phone as a PDA is VERY good. The sdk is available, so apps will come from everywhere, not just one company. By far, the best phone/PDA on the market.
Drawbacks are:
Camera sucks for stills, but takes increadible video for a phone. I hear they will fix this in a future OS update comming soon
No flash embedded in a browser or otherwise. Also, comming soon according to Adobe, they will release flash for Android, but not for Iphone.
Keyboard sucks, but you can install better keyboard apps. Skinny fingers...not a problem, but if you're big boned like me, then...
No cut and paste. It does suck. Some apps have it, but the browser doesn't.
Hope this helps your desision.