The iPhone is now the top selling cellphone in the U.S., according to a report released today by NPD Group. Though overall mobile phone sales dropped 15 percent to 32 million units, 6.9 million iPhones were sold. By doing so, Apple beat out the Motorola RAZR as the longstanding top seller.

The rest of the list looks like this:

1. Apple iPhone 3G
2. Motorola RAZR V3 (all models)
3. RIM BlackBerry Curve (all models)
4. LG Rumor
5. LG enV2

This is a telling moment for the iPhone and how the market’s general expectation level is rising for mobile device features. The iPhone still makes up a small percentage of overall phones sold globally. But it’s a good sign for its chances to become a mass market device if it accounted for more than 20 percent of cellphones sold in the U.S. last quarter. This also came at a time when consumer spending reductions generally curb sales of higher-end items. Given the iPhone’s $200 price tag and two-year contract, it is about a $2,000 investment.

Because of the iPhone’s more user-friendly interface, the growth of mobile data consumption (including mobile local search) will correlate with the device’s penetration. Rising standards will also affect other smartphones and their penetration — supported by TKG’s Mobile Market View study released last week.

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