Use my old iPhone as a pod?

My old iPhone 3g had a faulty headphone jack, so O2 kindly sent me a replacement 3gS.
Great! so what do i do with my old faulty iPhone?
not a lot it seems, but i thought i cold at least make use of it as a games machine - i.e. i'll put lots of apps and games that don't need sound, for use if i'm on a long trip.
i can't see it would be useful for much else, unless i pay the repair charges (and why would I??!!)
anyway, what i'd like to do now is rename it.
my new phone is 'paul's phone'. my old phone used to be 'paul's phone', but now if i plug it in, isn't it going to try and be 'paul's phone' again and mess up the real 'paul's phone' settings?!
if i try and restore it, it won't work because the sim is in my new phone.
if i take the sim out and restore it, and then put the sim back in my new phone, wont that mess up my new phone..??!!
any ideas please?
confused of north london.

iTunes will keep them straight based on serial numbers, so you can have two devices with the same name (but it's not bad idea to change the old one when you sync next time, just clickt he name in the devices list and type a new one.
Was there a new SIM card with the replacement? If so, use that one in the new iPhone 3GS (ring O2 if needed to make sure your account is linked with the new SIM). Then, leave the old (inactive) one in the old iPhone. Else, you'll need to temporarily swap the SIM card in from the new iPhone 3GS if you need to Restore or when you update the iPhone 3G. That won't cause any problems, just put it back in the new one and sync that afterwards.

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