I just got a chance to briefly use TomTom's competition - CoPilot Live 8.0 for the iPhone. For $34.99, not only is it a far better value than the $99 TomTom app, it is definitely more refined and polished. It makes TomTom look like a beta product.
They already support live traffic data via GPRS and TMC systems (for a fee, of course). For me, I absolutely love how the CoPilot properly overlays voice instructions over music playback.
There are also additional features such as "lane assist" where it aids you through complex highway lane splits/forks. You can even pinch and zoom the maps when navigating. Another cool feature allows you to track your friends on the road via "Live Link" and send IMs (a feature found on TomTom standalone units, called Buddies).
For some reason unbeknownst to me, they didn't use the iPhone's familiar built-in keyboard. It's bad enough to have to type on the iPhone, worse if you provide a non-standard, non-QWERTY one.
CoPilot's maps are too colorful and cartoony for my tastes. I still prefer TomTom's maps, they appear more detailed and are easier to follow.
Aside from a few drawbacks, the rich feature set in CoPilot really makes TomTom look like a toy.
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