Mine is also full of bugs that I'm hoping the update will fix at least partially. Lock-ups, calendar data going missing, a complete wipe of my contacts list and applications working for a short time then doing strange things. I've subscribed to mobile-me but only on a trial period and I think I'm going to unsubscribe as I'm not really using it anyway.

I do like my iPhone but I'm really hoping the bugs get ironed out soon, if not completely in this update then certainly on the next.