3G IPHONE PRICE MAY BE CUT BY AT&T

Here's an interesting scoop on the 3G iPhone. Fortune magazine reports that AT&T is planning to bring the price of the 3G iPhone within the $199 range by subsidizing the cost of the device by as much as $200. A source that is familiar with this strategy maintains that customers signing new, two-year contracts are the target of this 3G iPhone bargain bonanza. This discount is expected to pull lucrative customers away from AT&T's top rivals. Two versions of the new iPhone, an 8-gigabyte-memory and a 16-gigabyte-memory model with price tags widely expected to be $399 and $499 will be released. Fortune's source also revealed that the new iPhone will be slimmer than the current model by 2.5mm. AT&T and Apple declined to comment on these rumors.