Wal-mart selling 3GS for $97--is Apple dumping inventory?

Does Wal-mart's discount of the 3GS to $97 signal a new iPhone coming in June?

If you're looking for a cheap but great quality iPhone, look no further than Wal-mart's latest offering. The company announced that it's now offering the 16GB version of the iPhone 3GS for $97. You have to sign a 2-year AT&T contract, but other than that, there are no strings attached.

So, why is Wal-mart selling the iPhone 3GS for $100 off? Probably because the new iPhone is coming June 7th, or thereabouts.

A quick look at Walmart.com shows the 16GB 3GS in Black or White for $97, but then the price pops up to $297 for the 32GB version. The iPhone 3G is nowhere to be found on the website, so it's clear that Apple is end-of-lifing that one. The big question now is whether or not the new price for the 3GS will be $100 ($97 at Wal-mart) and then $199 for the new iPhone 4G, or whatever it might be called.

Even though the new iPhone should be coming in June, the 3GS is more than capable so it might make sense to jump in on that $97 deal while it's still running.

UPDATE: I just heard from a reader that he went to Best Buy and just bought a 3GS for $97. Thanks to Best Buy's price matching, Best Buy is now losing money on Wal-mart's promotion. Ouch.

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