"With in-app purchases, Apple has opened up a whole slew of business models," said Gartenberg. "There's a war going on for the hearts and minds of developers, and now Apple has made it easier for developers to make and sell apps."

Gartner's Baker believes that these new capabilities for developers may bring something else come to the App Store as well--higher prices. With more sophisticated programs, Baker thinks that US$15, $20, and $25 apps will become much more common when iPhone Software 3.0 is released.

For users, one of the biggest additions was the ability to copy and paste text, a feature previously missing from the iPhone. But the new software also brings support MMS (Multimedia Messaging Service), Spotlight searching, and more. Yet some people think these features should have been there from the start.

"Apple filled a lot of holes with things like copy and paste, but that's them playing catch-up," said Baker. And Ross Rubin, director of analysis at market-research firm NPD Group, agreed. "They certainly grabbed a lot of the low hanging fruit that was available in the operating system upgrade," he said.

However, it would be hard to make the argument that the changes to the iPhone's operating system are anything but good news for Apple and its customers.