Why would you suggest he buy a phone in Europe? You can easily find an unlocked quad-band GSM here for $50 or less. Buy a sim card when you arrive and bob's your uncle. You might even consider getting your iPhone unlocked- this is an incredibly more complicated process than, say, unlocked a Motorola (alien sim card, 4 digit unlock code you can get online for $10 or less, and boom, unlocked phone), but it's cheaper than a a new phone.
I have no idea about data but would suggest you save it for hotspots with your iPhone. There are TONS of cybercafes in European cities. TONS.
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