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How much will the iPhone cost? Is a price drop in the works?

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One of the most off-putting aspects of the iPhone for many hopeful owners has been the reported high price tag that will supposedly be slapped on the iPhone at the time of it's release (sometime during June 2007). Initial indications from Apple and AT&T/Cingular at the time of the Steve Jobs' keynote address which introduced the iPhone placed the iPhone pricetag at $499 for the 4GB model and $599 for the 8GB model.

Recently, however, there has been speculation that Apple and AT&T might be consideirng dropping this pricetag before the iPhone hits stores in June. A leaked test advertisement, part of a market survey by market research company Pinecone Research shows that Apple and AT&T are making efforts to gague customer reaction to lower prices displayed in the ad.

Leaked iPhone Advertisement

The lower prices are significantly so. $299 for the 4GB model and $399 for the 8GB mark a $200 decrease from the prices announced at the keynote. No word yet on whether the lower prices seen in the ad are to become a reality, but we can all keep our fingers crossed.

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