CINCINNATI (TDB) -- Apple says the $599 price of its most popular iPhone model is being cut to $399 immediately. CEO Steve Jobs said the company wants to make the devices even more popular in time for the Christmas shopping season. Jobs said he expects a million iPhone's to be in use before the end of the September, and the price cut could stimulate demand to manic levels. Remember the brawls over Cabbage Patch dolls?
The company's news release is here. It indicates that the puny 4GB of storage model is being discontinued when supplies are sold out. The news shows just how quickly prices can fall after new consumer electronics products are launched successfully into the marketplace. The line that goes something like "I'll wait a month until they are cheaper" isn't really an urban legend. Here's what Apple said:
"The 8GB iPhone is available immediately for $399 in the US through Apple's retail and online stores and At&T retail stores. The iPhone 4GB model will be sold while supplies last."
More on what it means is here.