This is only a rumor, but we hear the Peel will be available off-contract, and 1GB of data per month will run $29.99. There's no pricing information on the device itself as of yet. With the Peel, you simply slip the case over your iPod Touch, and then you'll have access to 3G data, like you would on an iPhone.
You won't have voice calling, but you can access a VoIP service instead. Does this seem like too much of a workaround, just to pose as an iPhone? It's a cool concept, but you might be better off to purchase a MiFi card instead, or (duh) just pay your cancellation penalty and switch to AT&T.
If you are that desperate to have an iPhone, but want to stay within the Sprint family, you should do yourself a favor and check out the HTC EVO 4G or the Samsung Epic 4G.
source: Boy Genius Report via IntoMobile