I called the iPhone tech support. Super nice...told me they will replace the phone free of charge. They'll even send a temp phone while the new one is being configured. Although, there is normally a $29.99 charge for the temp phone (they waived it for me). Crazy...considering how much they charge for the phones.
Not completely satisfied with the fix, I packed up architectdad and O and trekked out to the Apple store in the burbs. The sales person and manager were great. But because the "Apple Genius" was all booked up, I will have to go back tomorrow. They promised they will replace the phone, but the Genius will have to fill out all of the paperwork. We shall see. Wish me luck!
::update::
I took my sad little iPhone to the Apple store today so that the "Genius" can take a look and tell me what is ailing it. It turns out, this problem is not unheard of. In fact, after about 10 seconds of looking at it, he immediately told me I will be given a new phone on the spot. No complaints here! So all is well again...let's hope this one lasts a little longer ;-) Oh, and I signed up for the rebate...not $100 cash back, but store credit. Good enough, I guess.
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