Hardware yes, but not service. In the US, it can cost a few thousand dollars over the course of two years to have an iPhone. That's a lot.
http://www.steamenginefinancialcoaching.com/2011/02/14/the-real-cost-of-ownership-iphone-4/
It can cost up to $3,600+ to own an iPhone, counting service. Now, it can cost the same thing to own an Android I'm sure, but at least with that, you're not locked into a contract AT&T or Verizon. You can go with Sprint, you can do prepaid, you can do super cheap plans, whatever. I think that's a big reason why people in the US are going with Android. They would like an iPhone, but they want something a bit cheaper, or they want some other carrier. It's not like it was a few years ago, when iPhone really had poor competitors (that were not close with popularity), and so people were far more willing to pay a premium for an iPhone.
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Zachnorn Everything = overrated.
http://img841.imageshack.us/img841/4503/qrcode857546.th.png