Price cut moves U.K. iPhones

U.K. shoppers respond well to a cut in the price of the 8GB iPhone; O2 and Carphone Warehouse have virtually exhausted their supply.

The 8GB iPhone has practically disappeared from the U.K. after a price cut last week. CNET Networks

Price apparently was an object for U.K. iPhone shoppers.

The decision by U.K. carrier O2 to cut the price of the 8GB iPhone prompted shoppers to exhaust stocks of that model at O2's Web site and at Carphone Warehouse, an authorized iPhone reseller. Pocket-Lint confirmed with Carphone Warehouse that the 8GB models are kaput, and O2 told the site that while online stocks of the 8GB model are gone, retail stocks are dwindling fast.

It was only a week ago that O2 cut the price of the 8GB model from 269 British pounds ($533) to 169 British pounds ($335), a move that was seen as a inventory-clearing measure ahead of the expected introduction of a 3G iPhone. Both Carphone Warehouse and O2 told Pocket-Lint they were "reviewing" whether to order more 8GB models from Apple, which is yet another hint we're going to see a new model soon.

Does this mean Apple has a 32GB iPhone planned for the 3G launch, expected to come in June at or around the Worldwide Developers Conference? Perhaps, although it's only been a few months since it upped the capacity to 16GB. At that time, Apple's Greg Joswiak said the company still believed there was demand for a 8GB model, but that stance might have changed to reflect a "bigger is better" mentality.

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