HandsOn, thanks for that review. Since I am an Ubuntu user the iPhone is definitely out for me, and it's a relief to hear that in contrast music organising with the Magic is just a drag and drop affair. I'm not so keen on the 18 month commitment Vodafone demand here in the UK though and might wait for the PAYG model which is rumoured to be coming out soon.
There is definitely zoom on the Magic/MyTouch 3G. When, say, in the web browser, once you tap on the screen, a "+" and "-" button pop up--and you can use these to zoom in. Also, double-tapping on an area will bring the view into focus into that area. Having gone from a iPhone 3G to this device, I can say that's one area I miss. iPhone just has absolutely nailed the multi-touch.