The best part is when he goes over the "checklist" of features their phones have.. it'll do email! - quality products are more about checklists of features, something Microsoft still does not get.
I think it's pretty clear that Ballmer is fronting in that clip. The fact that he has a list of anti-iPhone talking points ready to run through doesn't suggest that he's unconcerned about the iPhone, rather the opposite.
Mocking it for the cost was especially silly considering the Motorola RAZR - a pretty but otherwise run-of-the-mill flip phone - launched at a higher price and sold like hotcakes.
