iPhone 3GS down to $97 at Wal-mart

iPhone 3GS down to $97 at Wal-mart

Summary: Here's your chance to get your hands on a cheap iPhone deal.

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Here's your chance to get your hands on a cheap iPhone deal.

Wal-mart has dropped the price of the 16GB iPhone 3GS by $100 to $97. Of course, to get this deal you do have to sign up to a 2-year AT&T contract. Oh, and a new iPhone is probably just around the corner.

Handsets are not available online, only in-store.

It seems that Apple has also stopped shipping the older 8GB 3G handsets to AT&T. This really is a no-brainer since the older handset can't make use of some of the newer features that will form part of iPhone OS 4. Apple really doesn't want three generations of handsets in the market.

So, anyone picking up a cheap iPhone?

Topics: Hardware, iPhone, Mobility, Smartphones

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4 comments
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  • Clearance bin

    Walmart is acting as a clearance bin for soon-to-be-replaced models, no surprise there. And as Adrian mentioned, the real cost is the 2-year contract with AT&T. But there are other factors in play that Apple and AT&T may not especially want public.

    First, they never have liked for anyone to "discount" their products or independently price them. So the new offer price must be done with the permission of Apple, even though it depresses the selling price of the iPhone overall. They must be more concerned about losing market share than many would believe.

    The other thing is, now that AT&T has raised the early termination penalty, they are looking for lower-end customers, who also tend to violate the contract terms more often than normal. Lost jobs, poor impulse control, non-comprehension of the contract terms and other factors account for the higher default rate, but whatever the cause, all of the cellular providers know the demographics of their sales channels and customer base. And they all know that Walmart sales of long-term contracts have a higher rate of default than boutique channels do. AT&T may actually be counting on that.
    terry flores
    • RE: iPhone 3GS down to $97 at Wal-mart

      @terry flores This, of course, assumes they have any inventory worth speaking of. It's already been reported that Apple has stopped shipments of the 3G(S) to AT&T and other sales outlets and I believe Walmart was the only marketer of the older 3G model. My guess is that with the new 4G models coming in just three weeks Walmart will receive the few remaining 3G(S) models now and be the sole supplier of the model in the future. I expect, however, that the $97 price tag is a short-term sale only, probably going up to $147 once the 4G is out.
      Vulpinemac
      • RE: iPhone 3GS down to $97 at Wal-mart

        @vulpine@... wrong. Walmart is not selling any 16GB model as of now and won't be carrying it anymore.

        Some of the walmarts said the won't be carrying iPhone at all (previously the did) except for the super center walmarts !!
        tombgr8@...
  • What "4G" model?

    What 4G model? Do you mean the iPhone 4? AT&T doesn't have 4G network yet. Haven't seen anything on the upcoming iPhone 4 being 4G or LTE capable. Hope it is firmware upgradeable to 4G.
    Wolflead6