IPhone to use only like an iPod (for foreigners without AT&T)

Hello
I appreciate a helping from you ...
I am considering asking a friend (on vacation in the USA) to buy an iPod with some speaker system for my baby who is arriving (the first one!). Then I discovered that prices and capacity of the "iPod Touch" and the "iPhone" are similar, then I wonder:
Can I buy an "iPhone" (directly into an apple's store) without any relationship with "AT & T"?
AND
Technically, iPhone function as iPod (player of music and videos plus digital camera) without telephone service, here in Brazil?
This idea is really crazy? Because I would have a 2Mp camera and a typical 8GB "iPod" together...
Thank you all.
Noh.

I think you already have answered your question, but here's my recommendation anyways...
Get the iPod Touch. It requires no activation or service agreement, and comes with twice the storage capacity. It's fully usable now.
Eventually, I'm willing to bet that the iPhone will become available in your part of the world. And there's a reasonably good chance that when it does come to South America, it will probably have been updated with things like more storage, support for faster data rates, a better camera, and who knows what else.
Hope that helps!
Trilo

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IPhone to use only like an iPod (for foreigners without AT&T)

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