I agree wholeheartedly.
When someone is engaged in a cell phone conversation they are not mentally focused on the situation at hand which in turn endangers others. Not even the "hands-free" laws that are being implemented can resolve this.
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Apropos of this discussion, I was amazed when I was in Florence (Italy) recently that despite the INSANE traffic, I observed a fair number of cyclists riding while both talking on their cellphones and smoking cigarettes, and yet narrowly avoiding death. Impressive. I tried to get photos, but I never had my camera at the ready when I saw one of these folks. The best one I saw was a guy riding his bike, talking on his cellphone, and LIGHTING HIS CIGARETTE WITH A MATCH without slowing down. Viva Italia!
The weirdest part is that very few Italians seem to smoke anymore. I think I saw more smoking cyclists than smoking pedestrians.