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I actually would rather use a separate phone and tablet. I carry around a 5 inch tablet (Galaxy Player) with me at all times. I also never leave home without my 10 inch transformer. I have an HTC phone that I use for tethering.
I can see how the note may have its advantages but It can never fully compete with a true tablet
Sure, a bigger screen lets you work on more things, but it's a terrible phone.
No it is a great phone. Sure it is big but that does not bother once you get used to it. I love the extra screen space and I don't even notice the size of it until I pick up my old HTC with the 4.3 screen and it now feels tiny compared.
It has everything I ever wanted in a phone half tablet half phone and it all works. Just waiting on the ICS release.