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The elusive $99 iPhone may lose 3G, GPS

MSNBC is jumping on the $99 iPhone bandwagon based on a report based on RBC Capital Markets analyst Mike Abramsky, who believes that the entry-level iPhone will arrive in June or July, presumably at WWDC 2009. Dates for the conference have not yet been announced.
Written by Jason D. O'Grady, Contributor

MSNBC is jumping on the $99 iPhone bandwagon based on a report based on RBC Capital Markets analyst Mike Abramsky, who believes that the entry-level iPhone will arrive in June or July, presumably at WWDC 2009. Dates for the conference have not yet been announced.

The interesting thing about the arrival of the $99 iPhone is that it will create a division between the high-end and low-end models for the first time in the product line. According to Abramsky, the $99 iPhone may drop 3G and GPS in order to keep the price low. The $99 iPhone will retain Wi-Fi, Bluetooth and the 3.5-inch, 480 x 320 screen of the current models, according to the report.

In addition to the $99 stripped-down version, Apple will release a third generation "premium" iPhone that will include an higher resolution, 720 x 480 screen, a video camera and either 16 or 32GB of flash memory.

The report didn't include any mention of an upgraded dual or quad-core processor, a larger form-factor, or firmware 3.0 which have been previously rumored.

Would you buy a $99 iPhone or is the allure of the premium version too hard to resist?

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