A lot of airlines offer in-seat telephones. Emirates offers roaming cell coverage on most of their aircraft. Granted, these services are expensive enough that I have rarely seen anybody use them, which makes them a whole lot less annoying than if the entire plane of was on WiFi. But I've been in situations similar to SusanYVR where one person sitting in F decides that it is absolutely paramount that in addition to her friend across the aisle, the entire F cabin must know every detail behind her wedding planning.
Situations like that bother me more than in-flight telephones. The phones already exist, and nobody uses them. And I don't think enough people pay for GoGo that it would be a problem even if it were allowed. And well, if somebody REALLY wants to use it, the block is very easy to get around. FWIW, Facetime on the iPhone 4 works in-flight.