I know this discussion is probably rather redundant, but I figured I'd throw in my 2 cents on why I chose the G1 even though it is quite older than the myTouch 3G.
* I cannot, cannot live without the full keyboard. The myTouch 3G has an excellent user interface, yes as it is the same one used on the G1. I can't stand the on screen keyboard, though.
* They are the same exact hardware, minus the fold out keyboard.
* The myTouch 3G, despite being based on the same CPU and (okay, I'll give it this) it has more RAM than the G1, it still costs 100 bucks more.
* The myTouch 3G is only smoother than the G1 because of the firmware version. Upgrading the G1 to Cupcake removes this difference.
* You'd think with taking out the hardware keyboard for the myTouch 3G that they'd have also shrunk the phone itself, including thickness. They really didn't.
* The myTouch 3G felt more solid in my hand, but a reading of the reviews on the G1 lead me to believe that the G1 is just as solid.
* A little known fact about the G1: it supports 3G just as well as the myTouch which is touted for 3G support.
That said, you really can't go wrong with either one. What it really comes down to is deciding whether or not you really need a hardware keyboard or not, and whether you're willing to pay 100 dollars more not to have this feature.
Whichever way you go, they're both based on Linux, so like I said, you really can't go wrong with either one.