Nobody would be that surprised if hugging the antenna causes a call to be dropped when the signal was already marginal, but if you thought that the signal was strong, it would be a big disappointment. The iPhone 4's design, which doesn't make it at all obvious where the antenna is, compounds the gap between what the user thinks is happening and what actually is.
"...which doesn't make it at all obvious where the antenna is..."
Ironically, I now have a much better idea of the iPhone 4's antenna location than that of any cell phone I've owned since they had protruding antennae.
