Two months after the iPhone's launch, Apple has begun selling "Apple Certified Refurbished" 8GB and 4GB iPhones online for $499 and $399, representing a 17% and 21% discount, respectively. Apple offers free shipping on both models and says that the refurbished phones ship with 1-3 business days. Apple also offers the AppleCare Protection plan for the refurbished phones at the regular price of $69, although the reduced price tag includes a one-year warranty. The latter will likely result in less hesitation; Apple is definitely making the right move by including a warranty with a refurbished device.
News source: DailyTech