John,
Based on the info Tim provided, I agree that my opinion of the advertising was not as well informed as it could have been. I do believe that Apple should be clearer about it, and I have told them so directly. My background as far as cellular phone purchases is different than the average customer.
We have a number of staff who travel worldwide and over the years I have purchased many unlocked GSM phones for both business and personal use, and I have never faced obstacles in getting all the features to work on any GSM network as I have with this device. Setting up our last few Nokia smartphones looked like child's play in comparison. Hopefully this will change in the future.
Now, as far as the technical requirement for activating FaceTime; you can do a Google search for information on that. It's 100% clear that the process of sending SMS messages through a cellular network for activation is a totally unnecessary step; that being said, it is how it is done on the iPhone right now. There are a lot of people who think that unnecessary steps shouldn't be neccessary.
AT&T I don't mind so much, but there's no way I'd let anyone use Verizon, and their phones aren't supported well overseas anyway.