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There’s seldom a clear-cut decision in the gadget world, and picking which smartphone you want to commit two-years of your contracted life to is perhaps one of the hardest.  Right now the primary battle is between the Palm Pre and the latest iteration of Apple’s iPhone software, OS 3.0, as demonstrated yesterday.  If you’re wondering what the announcement means, check out our full comparison over at My Pre.

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The article covers everything from Palm and Apple’s strongly opposed stances on background applications, through their different efforts to bring universal search to mobile devices, and of course how they handle synchronization.  There’s also the thorny issue of gaming and the App Store, which thanks to a well-motivated legion of developers is already rammed to the rafters with iPhone software.

Of course, most of us are expecting Apple to announce new iPhone hardware in June or July, which will not only get OS 3.0 but whatever physical tweaks and refinements Cupertino have been able to come up with.  That’s going to throw another spanner in the proverbial works.  Check out the full comparison here.

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