could you explain what happend to the iPhone?
when you connect the iPhone with your computer - what happens?
does it make the connection sound?
does itunes pop up?
did you try to restore it with a "new" firmware like 3.1.3 or did you try that with a older version?
if the battery is charged - can you put it in DFU mode ([http://www.youtube.com/watch?v=ofpinyGlQ8I|click here for instructions])?
even if you don't see anything on the screen - when you try the DFU mode - the phone will connect and disconnect with the computer a few times.
i would restore it with an older version, most people try it with a 0 version - so 2.0 or 3.0 should be the choice (i revived a dead one with a 0 version - but to be honest - i didn't try a different one at first. there are a few pages on the net where you can find the firmware - like [http://www.felixbruns.de/iPod/firmware/|that]