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$100 Price Drop on iPhone and iPod Touch?

9to5Mac believes that the iPhone and iPod touch will be seeing $100 price drops in the next two months, simultaneously discontinuing the low capacity models.

Their belief is that the 8GB Touch and 8GB iPhone will be discontinued, leaving a 16GB iPhone at $399, 16GB Touch at $299, and 32GB Touch at $399.

The move would be reminiscent of the $200 iPhone price drop and discontinuation of the 4GB iPhone that took place in September, 2007. The surprise iPhone price drop -- only 3 months after the introduction of the iPhone -- caused an outcry amongst early adopters. The outcry was so great, that Steve Jobs posted an open letter to explain the decision and gave existing iPhone owners a $100 Apple store credit.

Based on this experience, it seems Apple would be reluctant to make a similar move when they could have easily timed the price drop to coincide with iPhone/Touch updates last week. This being said, the iPhone is still expected to receive further updates this year with the introduction of a 3G model in 2008. It's possible that any future price drops could correlate with the introduction of the 3G iPhone. AT&T has already committed to expand their 3G network to more U.S. cities in 2008.

While 9to5mac had an excellent early rumor record, their record has not been perfect, with their recent claims of 5 million iPhones sold by Macworld failing to come true.

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52 months ago
That's just great. First $20 for an ipod touch update... now this... sheesh.

- Jay
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52 months ago
Such an early price drop seems really unlikely given what happened last time, but any price drop is good for me!
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52 months ago
This wouldn't be such a surprising price cut. The cheapest iPhone on the market would still be $399. This is pretty much the trend as I see it in technology- mainstream computers and gadgets stay about the same price but you get more and more for your money.

The thing that happened last year was bizarre because after only three months they orphaned the 4GB model and made the 8GB model $200 cheaper, and $100 cheaper than the previously least expensive model.
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52 months ago
I don't think a price drop this soon is going to happen. Its more likely that a 32gig comes in and bumps the 8 out. However, I think that is unlikely this soon as well. I also don't trust 9to5. Lately they have had some sketchy reporting.
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52 months ago
I can not see a price drop, especially after what happened the last time. I think it will be timed with a dropping of the old and some update...
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52 months ago

The surprise iPhone price drop -- only 3 months after the introduction of the iPhone -- caused an outcry amongst early adopters. The outcry was so great, that Steve Jobs posted an open letter to explain the decision and gave existing iPhone owners a $100 Apple store credit.


God!!! I believe that's really true, the 32G version go on stage 7 months earlier than I expected (I used to think that the Sansa View and Creative Zen were the only device which use 32G Nand Flash), so a price drop is truly possible!

But I doubt AAPL will again give check to customers, the additional cash for the software update of the iPod Touch mean that AAPL don't have such respect to them as the iPhone users.

Also in this way, we won't see a Nano mixed with Touch style iPod this year, AAPL will still use the current iPod Touch style to conquer the market.Damn!! I really wish they can give me a store credit;), one can never have enough Apple product
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52 months ago
Let the whining begin!

I bought my 16gig Touch back in November.
Oh well, I am still pleased with my purchase.
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52 months ago
Im probaly going to sell my 16GB touch on eBay when these "price drops" happen and then get myself a nice shiny 32GB touch.
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52 months ago
I guess the concern would be that once the 3G models become available the current Edge models will be viewed as obsolete. So reducing production to reduce the amount of unsold inventory and a price reduction to encourage sales of said inventory is likely to occur prior to the 3G models being officially announced.

That said, I won't consider an iPhone until the 3G model is available.
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52 months ago

That's just great. First $20 for an ipod touch update... now this... sheesh.

- Jay


you realize this is a good thing right?
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