Update: Ah, the internet is a cruel place, so I was told. First of all, thanks to everyone for commenting about this story. To those who don't believe in the credibility of my story, that's fair. To each their own. The iPhone is coming out in a month and there have been multiple sightings around here of Apple reps with their iPhones, so I really don't understand what all the hoopla is about. I'm just excited that June is almost here. Also, thanks to Engadget for posting this on their great site.
So I was at a local restaurant with my friend Philip here in silicon valley when I noticed that the man behind me in line was holding an iPhone!!! I had to lean over and sneak a peek, of course, and saw that he was navigating a page with lots of text. I think it was a website. He then clicked over to some sort of list - was it bookmarks or an options menu? I couldn't tell. Even from two feet away, however, the screen appeared crystal clear with the tiny font. The phone itself looked like I remembered seeing it at MacWorld a few months ago-same size, shape, and it wasn't protected with any sort of case. (The screen cannot have any sort of covering on it for the touch sensitivity to function, according to the rep I spoke to at Macworld). He was quite unabashed about the fact that he had it. When he sat down at the table in front of me he had it out most of the time while he was dining and was taking pictures of the person he was with and was talking about the functions of the phone. I approached him and asked if he was an Apple Employee who works on the phone, to which he replied "yes." So I went on and gave him my schpeel spiel (thanks Jeremy) about why they should allow third party software on the iPhone, to which he replied with a blank, and mostly disinterested, look. He said "yea, as far as I know they're not allowing that yet." Anyhow, he was nice enough and I hope he takes the comment to someone who cares. Check out the candid pics I took (with my SE K750). Even though it's got a 2mp camera the lighting wasn't optimal in the restaurant so they're a bit grainy, but still worth it! iPhone in the wild!

there was a guy at the imax downtown with one - when asked about it - he said he had worked on the project.
Posted by: david | Sunday, May 27, 2007 at 10:37 AM
I don't see any iPhone.....Sorry lame!
Posted by: ProspectiveiPhoneBuyer | Sunday, May 27, 2007 at 10:38 AM
I saw an iPhone at the San Francisco Hall of Justice about a month ago, but I was too shy to ask about it. haha ... the iPhone. It's like Elvis.
Posted by: David | Sunday, May 27, 2007 at 11:19 AM
Wow, you just missed the opportunity of a lifetime.
Posted by: B | Sunday, May 27, 2007 at 11:52 AM
Wow by the passion in the responses here I reckon a few heads are gonna roll when this bad boy does hit the streets. My cash is on ProspectiveiPhoneBuyer to commit the first killing over the iphone. He was so pissed he couldn't even type his response properly.
Anyway dude I buy it, there must be some sort of testing going on in the wild, well done on pushing for the third party apps! You should have told him his car was being robbed and then legged it with the iphone!
Posted by: H | Sunday, May 27, 2007 at 11:53 AM
What iPhone?
Posted by: Nunvyer Bizniz | Sunday, May 27, 2007 at 12:50 PM
Yeah, there are supposedly lots of Apple employees using iPhones. I met a guy in San Francisco, waiting for the restroom at a shabu shabu place called Cafe Mums.
I begged him to let me hold it but he refused... he probably thought i was gonna run with it, and I probably would have =)
He was nice enough to show me coverflow, a movie, sms'ing, contacts, etc. I was super excited after seeing it - it looked elegant, high quality, and truly innovative. Seeing the keynote is one thing, seeing it being used is quite another. I have used the Symbian UIQ, which is the closest in terms of features and interactivity for a phone... and the iPhone simply blows it away. The speed and graphic quality is simply incomparable.
I believe the iPhone is the next iPod - it will be unparalleled for years to come.
Posted by: Nathan | Sunday, May 27, 2007 at 01:38 PM
Maybe you really did see someone using one, but those pics are worthless for your story.
Posted by: Dan | Sunday, May 27, 2007 at 03:27 PM
run away with!!!!
Posted by: basill | Sunday, May 27, 2007 at 03:41 PM
Spiel, for future reference.
Posted by: Jeremy Pepper | Sunday, May 27, 2007 at 07:41 PM
You can see something in the second picture, but you have to click on it to get the higher resolution version. It looks like the shiny back of the iPhone, though it could be a video iPod too. I cleaned it up as much as I could and posted it here: http://arapehlivanian.com/pub/iphone-in-the-wild.jpg
Posted by: Ara Pehlivanian | Sunday, May 27, 2007 at 09:39 PM
Must be an iphone, check out how bored and confused he looks
Posted by: neko | Monday, May 28, 2007 at 03:41 AM
I don't see an iphone in the pictures. Is this some sort of digg-bait?
Posted by: Todd | Monday, May 28, 2007 at 08:29 AM
did you think about saying hello to the guy... and then stealing the iphone?
Posted by: jonapple | Monday, May 28, 2007 at 09:29 AM
Whatever, my friend worked on the iPhone and has one he can take out in public.
Posted by: Mike | Monday, May 28, 2007 at 03:02 PM
Whoa, man what is up with some of your people, it's just a phone, you know in a few months they are going to come up with something smaller and better, well I in fact was in the restaurant with steven and he was freeking out over the phone, and I was like, wow, cool,
so everyone get over yourselves, you don't believe him or don't like the pics then go back to the hole you came from
Posted by: ingrid | Wednesday, May 30, 2007 at 03:16 AM