It depends really, The problem is that the likes of Nokia target the European market and hence their phones are quite advanced and have 3G etc. Apple have obviously targeted the American market and in that sense they are behind and less attractive in Europe since no 3G in a £300 phone is quite a ****-take.
On the other hand they have also made quite a few leaps forward ahead of Nokia in terms of interface and use. The iPhone is very nice. If they just improved the connection and dropped the price they would have a excellent product. I hope they fix these before I am due for a upgrade on O2