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AT&T slashes Nokia Lumia 900 price by half

Nokia's Lumia 900 Windows phone drops from $99.99 to $49.99.

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It was only a matter of time that AT&T drop the price of the Nokia Lumia 900 in a move that's great for consumers and perhaps not so good for Nokia.

Starting today, the Lumia 900 costs just $49.99 with a new two-year service agreement, down from its already-inexpensive $99.99 price tag when the smartphone first debuted in April.

The Lumia 900 has a terrific 4.3-inch screen, LTE speeds, and an 8-megapixel camera. It also runs Windows Phone 7.5, and like all other existing Windows phones, will not be upgradeable to Windows Phone 8 OS this fall. The significant price drop is surely intended to sweeten the deal for consumers who are on the fence about whether they need an multi-core Windows Phone or feel fine with a fast-enough single-core processor.

Nokia is also pushing the upcoming experiences that the Lumia family of phones will still get, including Windows Phone 7.8, with a new start screen (video), plus Nokia-only features, like DLNA support, new camera effects, and Zynga games like Words with Friends and Draw Something.

New Windows Phone start screen on a Nokia Lumia 900
New Windows Phone start screen on a Nokia Lumia 900 Josh Miller/CNET

AT&T stores will carry the blue, white, and black versions of the Lumia 900. Customers can order the bright pink version online.