HTC Sense & Hero
The Hero hardware isn't terribly surprising nor exciting, but it is very nice. It's a very nice size, balancing a large screen with a body size smaller than the iPhone. If the G1 was too chunky for you, or the Magic too rounded like a bar of soap, then you'll like the Hero. The shape is nice enough to appeal to a broad range of people, and it feels nice in the hand.
The screen is very nice. The trackball works well. A very large volume rocker on the left is very easy to use (once you figure out that it's not port cover, which was what I thought it was at first.) The other buttons on the front are small and flush, but they work well enough. The placement of the search and back keys felt awkward to reach with my thumb when holding it in my right hand.
The fingerprint-resistant screen works well. Just like the new iPhone, a quick wipe against your shirt (or dip in your pocket) cleanly removes all smudges.
The teflon coating on the white version is interesting. It has the matte texture of a "soft-touch" finish, but without the rubbery feeling. HTC's Horace Luke explained that using Teflon was the only way to get a decently durable and clean white surface with a matte texture. (Most other white phones are glossy.) The brown version has a more typical soft-touch finish.
The performance using it is decent. There were some very brief stutters and lags when moving around; it's not quite as speedy as the new iPhone 3GS. However many screen changes, animations, and other actions were very fast. It's possible that tweaks to the software by the time launches will speed things up a bit.