Apple cuts 8GB iPhone price, dumps 4GB model

The 8GB iPhone now costs $399.

Apple iPhone
Apple iPhone Corinne Schulze/CNET Networks

In the midst of dropping all sorts of iPod news today, Apple CEO Steve Jobs announced a $200 price cut for the 8GB version of the iPhone. The formerly overpriced device will drop from $599 to a somewhat more reasonable $399. Oh, and that's not all: Because the $399 4GB iPhone has lagged behind the 8GB model in sales, Apple is dropping it from its lineup completely. And to clean out its house, the company offering the 4GB version for $299.

We've expected a price drop for the iPhone since the handset first went on sale back in late June, and a $200 reduction is quite significant. While we acknowledged the iPhone's strengths at the time of our review, we also suggested waiting "until the phone comes down in price and [AT&T's] network improves." While the first event has undoubtedly happened, we still want an iPhone with 3G and stereo Bluetooth.

About the author

Kent German leads CNET's How To coverage and is the senior managing editor of CNET Magazine. A veteran of CNET since 2003, he started in San Francisco and is now based in the London office. When not at work, he's planning his next trip to Australia, going for a run, or watching planes land at the airport (yes, really).


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