IPhone Prices Expected to be Cut

It was recently reported by Fortune Magazine that AT&T is planning to drop $200 from the price of the new iPhone. iPhone providers in the UK and Germany cut their prices last month to help make room for new models. According to the magazine the new $200 iPhone will carry with it a two-year contract and will be available exclusively through AT&T. There are no rebates for the 8 GB iPhone planned through Apple stores where it currently sells for $399. The 16 GB iPhone sells currently for $499. The iPhone is also expected to be available with much more memory than the two above listed models. A new 32 GB iPhone has been rumored to be in development stages. The report from Fortune magazine stated that the $200 model of iPhone is likely to be locked or have programs installed that will make it impossible for users to purchase the less expensive model and then take it to another service for activation.