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I'm having similar problems. I got things working relatively smoothly for about 4 hours yesterday. Then I ran into problems with the iphone synching endlessly unless I stopped it...and even then crashing, often to the point of not being able to open it again (it is happening again as I write this) and having to dump the app and reload it. It's in really bad shape.

I'm not counting on this working anymore until there is an update with the iphone software. I'm also beginning to understand why Jobs was reluctant to have other party's software on his phone. Hopefully it will eventually work itself out.

It was SO damn cool when it was working...