The future of mobile phone

First came the FM based mobile phone from Motorola, then came Qualcomm's CDMA based mobile phone which improved the quality of the signal. Then there came G2 technology with various form and shape phones from Nokia, Motorola, Samsung etc. Then while G3 phones were in the making, a transitionary state called G2.5 emerged and the market was flooded with phones that could do email, interact with the internet and take photos. Now the real G3 phones are starting to emerge from Nokia. These new phones will deliver video, and will allow you to purchase songs online in addition to other internet services. Sprint Nextel is already offering songs for sale directly online for $1.99 a song, compared to Apple's iTune $0.99 price per song. The increase in the price is worth it for those who want to get their songs immediately wherever they go.
It does not stop here, because now there is talk about G4 phones targetting 2010, that are supposed to make you even more connected wherever you are. However, based on the delays in G3, it is expected that G4 won't come to the market until much later than 2010.
I am seeing that there a merger between PDA and phone, as phones are having more PDA functions integrated into them, while PDA's are adding modem and phone functions too, which makes the distinction between the two devices become more and more blurry. I wonder, are they going to be completely blended in the future, or are we still going to see distinct PDA and phone devices?
I always felt I did not need a connected PDA, i.e PDA/phone. I was happy with the applications I had on my PDA while reading material from the internet offline. I still don't see a need to be connected, but who knows, maybe if the connection fee goes down it will be worth getting connected. It certainly is a convenience which is just too costly now. But as the price goes down, who will not want to have a PDA/phone rather than just a PDA? What do you think?