It's true that the service provider won't sell unlocked phones, but it's the law that they be unlocked at the owner's request after the contract has finished. You can buy some unlocked phones, also, but they're usually from another country and without warranty. Usually, those phones sold under contract are much cheaper. e.g., a Nokia 6085 is US$199 but is "free" with the contract.
I don't know of any place that sells just the SIM card. You usually have to buy a cheap phone with the pre-paid SIM card.
There are couple of reasons why cellphone here are backwards lah. One of them is that US uses GSM 1900 and GSM 850... while the rest of the world uses GSM 900 and GSM 1800... So not many phones are made for GSM 850/1900 to begin with.
But if you want those cool looking tri/quad band phones from asia, as long as you live in a big city, there are shops in chinatown which carry models which are unlocked.
Also, i noticed that generally ang mo like big stuff... everything the bigger the better... LOL... To us US cellphones look big bulky and ugly, to them... its cool and nice looking... IMO, iPhone is the first real phone in US. Hopefully more companies will make cool and nice phones for the US market. Until them iPhone is the "best phone in the world" :bsmilie: