updated 10:40 am EDT, Tue May 25, 2010
iPhone 3G finally phasing out
Apple confirmed rumors today by taking away the option to buy an iPhone 3G at the online Apple Store. Although the phone is still listed, the "select" option has vanished and leaves just the iPhone 3GS as the only option for an online order. The company hasn't said whether it's still available in stores, but a halt in shipments would leave just remaining stock.
The drop accompanies Walmart's now-live iPhone 3GS price drop to $97 and hints strongly that the 16GB 3GS will be Apple's new entry-level iPhone, leaving the next-generation model to occupy the expected $199 and $299 price points.
Apple has never quantified how many of its iPhone sales are of the iPhone 3G, which first shipped in July 2008. However, it has said that most sales actually lean towards the iPhone 3GS. The $99 price has mostly existed to help Apple catch customers who would otherwise go to low-end smartphones like the BlackBerry Curve series or even some regular phones at similar prices. A $99 iPhone 3GS would help brace Apple against Android phones like the Motorola Backflip or new webOS entries like the Palm Pixi Plus.