Out of curiosity, "mediocre" compared to what? Not trying to be a wisea**, but the browser on the iPhone is far superior to any other cell phone broswer I've ever used.
I much preferred browsing on my BB. I used Opera as my primary browser. It reformats pages so that they work much better on mobile devices. The iPhone browser is nice for pages designed for it, but I find the constant scrolling left and right for wide pages on the iPhone a big nuisance.
Another thing I preferred about BB browsing was that it multi-tasked. I could be reading e-mail while my browser was downloading a page. With my iPhone I have to wait, and wait, and wait, and wait. I have a second generation and it is painfully slow. Even worse, it doesn't appear to cache at all, so whenever I go back, it has to reload the whole page again.
Fix these few things and I'll love my iPhone:
1) Multi-tasking (multiple browser pages loading at once or while I'm reading e-mail)
2) Allow me to load apps and media from any machine without going through iTunes
3) Allow
me to choose what apps I can run
4) Allow me to easily replace the battery (I could live with the pathetic battery life if I could swap the batteries)
5) A menu button so that apps can be more flexible. It's gen 3 and I
still don't have the ability to make a block of e-mail messages as "read" or change the sort order for my e-mail.