I took the iPhone to the genius bar (after making an appointment) today. The friendly "genius" asked if the Calculator works. Lo and behold, when every other application suffers from the dead strip in the bottom half of the screen (where the 7,8,9 buttons on the phone keypad are), the calculator doesn't seem to. He concluded that it was a software problem and advised that I wait for the new software that is likely to be released today.
I hope the new software fixes it. However, from Jobs's keynote (which is ongoing as I write this) it looks like the new software won't be available till "early July." Can't decide if I can wait that long without the ability to dial phone numbers. I wonder if, in the interim, there is a workaround to the inability to punching in 7,8,9 on the phone keypad .