Everybody is ooohing and ahhhing over the news mapping functionality for the iPhone. If I understand correctly, the iPhone can triangulate from the location of 23 million mapped WiFi hotspots as well as off of the cell phone network to determine the location of your iPhone. That's cool.
The other big news was the expected announcement of iTunes movie rentals. Tied into this, though, is another try with the Apple TV -- you can now rent movies directly from your Internet connected HDTV set, no computer required. That's cool.