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Of course now I am benefitting of the advantage of having read all, or most of the previous posts. So, here is my two cents.

I think that our everyday life will be directed by adverts through the GPS. Phones will be equipped with a GPS receiver, and they will have a screen of reasonable size. The size of the iPhone (machine as well as screen) is, in my opinion, the largest one can comfortably handle in their hands, so not much increase there. But the resolution will be better allowing better view of maps and related info in a better quality. Mobile internet will be a much better experience.

Carriers will not charge their subscribers for GPS and location-related info, but will charge companies to feature in their database. You want to have Chinese? Your location is submitted by your GPS, and your database/application/carrier will direct you to the nearest Chinese restaurant - the one, which paid a hefty fee to your carrier to lead you to them.