I went with the iPhone 4 and it is pretty impressive. Coming from a 16 Gig 3G this thing is a lot faster and the screen is really amazing.
I thought about the google phones but the software didn't look as tight as iOS4 on the iPhone. I think they are definitely close though. For me it was the ability to video chat with family (I am on the road all the time), the screen, the camera upgrade with the ability to shoot 720p video, an the fact that I am familiar with the platform.
I also jailbreak my phone and use some apps like mywi for teathering - although I understand the google phones do this as well.
So far I am pretty happy and the build quality is impressive. The new phone also feels easier to type on than the 3G was.
sling player and amazon kindle apps are now out for android...