$199 3G iPhone expected

USA Today reports today in a lengthy piece about the new iPhone. They expect according to their sources that the iPhone 2.0 would be selling for only $199.

The $199 price of the iPhone would be of course subsidised by AT&T and sure require a new contract.
USA Today states as launch date of the new iPhone Summer. Our expection based on various shipment rumors is that it will even go on sale today or end of this week already.

USA Today highlights the new possibilities users will have with Applications for the iPhone based on the new iPhone SDK.

News Source: I4U News

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33 Comments

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Hmm. I still don't regret getting my regular 8gb iphone. paid $249 for a refirb from ATT.com and I didn't have to sign up for a contract. works good on t mobile.

I can't understand the people going WOW!, i'd wait and see what the contract is going to set you back first. I'll bet my left testicle it won't work out much, if any cheaper than the current iphone.

Hmmm, Neowin.net are getting involved a lot in Apple rumours from what I've seen in the past weeks... good, good. But these rumours are so strong and in great numbers, it can only disappoint people!

Ok so I am going to be the grinch on this seeing as I already have a great phone and can't see the need for this especially in the state of the US economy.

A $199 3G iphone otherwise would get me:

Almost 4 tanks of gas at $4.17 a gallon of regular gas
or
2 months of food (I spend around $100 a month)
or
just about anything else on essentials right now

$199 would be awesome, but I wouldn’t expect much memory--2GB--for that price. They probably priced this one for business because they are not going to want to pay a premium to let their employees carry 16GB of music and videos.

No I can assure you that it will be at least 8 or 16 gig at $199USD. Its cheap because there gonna start subisiding the cost of the iPhone, as most other contract phoes are, and make it so you have to sign up to a contract instore to get it at that price.

They are going to start???? AT&T already kicks in about $200 for each iPhone that is sold. I woudn't expect the subsidy to go up much.

I guess they're going to make you sign a contract when you buy it now then?

I can't see them letting you out of the store with one for $199.

Yes, not only will they make you sign a contract, but this price will probably not be available for those who are "ineligible" for upgrade pricing because they already got a new phone within the last 2 years (aka, those who bought the first iPhone.

What happens to those that already have a contract? Would they have to re-sign new stuff??
Cuz in spain telefonica always has good offers for new customers but they always screw up those are already with them

Presumably if you were already in a contract, you would be required to continue in that contract until its term expires (18 months is it?), or buy yourself out of the contract by paying for the remaining months up front.

WTF why would i have to make a new contract when im simply switching phones, basically i cant take my sim card out of my current phone and put it in the new one?

(Aq3e said @ #5.2)
WTF why would i have to make a new contract when im simply switching phones, basically i cant take my sim card out of my current phone and put it in the new one?

Because your in a minmum term and bound to pay till the end?

Of course you can go out and BUY another iPhone but it wont be $199 ( thats the subsidied cost of a new phone on contract )

(Unplugged said @ #5.3)

Because your in a minmum term and bound to pay till the end?

Of course you can go out and BUY another iPhone but it wont be $199 ( thats the subsidied cost of a new phone on contract )

Ok heres my issue, I already have a contract which i will pay to the end and have no intention of changing that. My current iphone needs to be replaced, its volume buttons are broken , part of the screens touch does not function so i just want to buy the new phone when it comes out. Now i dont care for the price of the iPhone weather its $199 or $599, All I simply am wondering is if I were to purchase the new Iphone (at what ever price) would I be able to take the sim card out (or at least transfer my existing account) to the new Iphone.

(Aq3e said @ #5.4)
Ok heres my issue, I already have a contract which i will pay to the end and have no intention of changing that. My current iphone needs to be replaced, its volume buttons are broken , part of the screens touch does not function so i just want to buy the new phone when it comes out. Now i dont care for the price of the iPhone weather its $199 or $599, All I simply am wondering is if I were to purchase the new Iphone (at what ever price) would I be able to take the sim card out (or at least transfer my existing account) to the new Iphone.

yes if u buy a fone that is unlocked or locked for your carrier. buy it at your carriers store and it should be no problem

Indeedm the Financial Times here in the UK has also said this is the most likely price point so it looks like it might well be true!

well sweet.... even though i wont get one i'd be happy for the people that do. Well hmm... who knows anyways, maybe i'll be in line to get one too!!!

(dp123 said @ #2.1)
Yes, it is; too bad the same is not true of your comment.

the news say
"would be selling for only $199." but it's not true and misleading to a incorrect value since you need to sell your soul to millhouse/at&t contract with at&t for a price, so the real price is $199 + plus extras where this extras are more that $199. The same scam that those "free products" (* plus shipping).

It makes sense if they want businesses to start buying it. Considering that the MP3 and video playback capabilities would be of little use to business users $500 is a pretty hard sell when you can get a Blackberry for less than half that. If the cost similar now they can compete on features.