iPhone and iPod touch to get $100 price drop soon?

This one's still just a bunch of whispers and coincidences, but we've been hearing that Apple may lower prices on the iPhone and iPod touch in the next few months and drop the 8GB touch. Word is that falling flash prices coupled with the desire to introduce the 3G iPhone at an attractive price point will lead to the 16GB iPhone falling to $399, along with similar touch price drops: 16GB for $299 and 32GB for $399. It's not clear what'll happen to the 8GB iPhone, but everyone seems to agree that the 8GB touch is on the way out -- we actually think a $199 8GB touch would fly off shelves, but that's probably cutting margins razor-thin. We'll see when we see -- and if flash prices are really falling that fast, it'll be interesting to see what happens to iPod nano pricing as well.

[Will @ Feb 18th 2008 2:22PM]

Apple wouldn't do that after the nightmare that was iPhone price cuts.

[BigBoy @ Feb 18th 2008 2:45PM]

I would be so PISSED if the 3G iphone comes out this year. I just paid $500 for the 16GB. If I new this a few weeks ago then I would have waited.

[insertAlias @ Feb 18th 2008 2:57PM]

@BigBoy
Honestly, that's the risk you run buying ANY kind of technology. Yeah, it sucks, but if you always wait because something better may come out, you will never get anything.

[dagamer34 @ Feb 18th 2008 3:00PM]

@BigBoy

You are an idiot. 3G iPhone IS coming this year and we knew this months ago. No one to blame but yourself.

[sd2000 @ Feb 18th 2008 11:57PM]

HA HA HA HA That is why I am waiting sucker ha ha ha " There's a sucker born every minute" My favorite quote and Steve Jobs as well :)

[rockstar @ Feb 18th 2008 3:53PM]

@dagamer34
So if someone has a different opinion than others, they are idiot? hmm what that makes you?

@Will,
Dood, I know your frustration, I can totally relate. But like others saying that's the risk of being an early adopter. I bought my iPhone the day it came out. Sure it sux so bad, but meh I'm actually looking fwd to the next iPhone,.. the 3G version if you will.

[Ethan @ Feb 18th 2008 4:02PM]

They dropped the price on the 5th-gen pre-Classics by $50-100 and nobody seemed too angry over that. The issue with the iPhone was that they sold them at an artificially higher price point just to make more money, as opposed to one based on the cost of components.

[robert @ Feb 18th 2008 4:07PM]

"I would be so PISSED if the 3G iphone comes out this year. I just paid $500 for the 16GB. If I new this a few weeks ago then I would have waited."

Who the hell doesn't know that there will always be something newer and better out?

[Jim @ Feb 18th 2008 5:32PM]

I bought a 2007 Honda Civic about a year ago but do you know what Honda did?!?!? They started selling a 2008 Honda Civic two months after I bought mine!! It had a couple of improvements, some added options and the gas mileage even went up by about 2 mpg. I am so angry!!! I'm thinking that I want my money back or a percentage of the purchase price back as a rebate or a gift card now. I mean, I bought something and a couple of months later they released a model that was better and less expensive. How is that my fault?!?!?

[Leo M. @ Feb 18th 2008 5:54PM]

Hmmm....3G iPhone or Android phone....hmmmm
I love apple products (fanboy I guess, not the trolling kind) but Google Androids stuff is looking very promising :)

Hmm......thinking...

[Kurian @ Feb 19th 2008 6:54AM]

The PS3 is the only piece of equipment that gets WORSE as Sony evolves it.

Launch 60GB PS3 FTW.

[Steve @ Feb 20th 2008 1:42AM]

If there's a price cut less than 5 months after release, there's going to be hell to pay. Not to mention a shitpile of rebate cheques.

[duffiecochran @ Feb 18th 2008 2:25PM]

they'll prolly just just bump nano capicity and keep it the same price?

Just curious, Can you not replace a 32gb ipod touch hd with the iphones?

[Jamma @ Feb 18th 2008 2:29PM]

No, the 32GB iPod touch uses 2 16GB chips- but the iPhone only has room for one chip though, because it needs room for the phone stuff

[crescentdavid @ Feb 18th 2008 11:37PM]

I love that: "They discontinue, not price reduce." Have you ever heard of the great iPhone price reductions? You know ... the one which caused near-riots when it first was announced?

Personally, the iPhone is getting seriously competitive, unless you live in a different world from most people.

[nxtiak @ Feb 18th 2008 2:26PM]

This proves 1 of 2 things:
1. No one is buying.
or
2. Just like how the Motorola Razr was a $500 phone, now are given out free.

[joelnn @ Feb 18th 2008 2:29PM]

"This one's still just a bunch of whispers and coincidences"

If you claim this is proof of a set of alternatives, let me complete the set:

3. You are clueless

[Zach @ Feb 18th 2008 3:24PM]

That ain't how apple works unfortunatly. They discontinue, not price reduce. For Example, the 4GB iPhone.

[Hgill @ Mar 4th 2008 4:54PM]

u are one sexy bitch

[Neon Jebus @ Feb 18th 2008 2:26PM]

yeah I think a $199 touch would kill the nano. Sure some people would still opt for something better used in work outs but still...I don't see that happening.

[Liam @ Feb 18th 2008 3:43PM]

I don't want something as big as the touch. I don't think I'm alone...

Any price drop for the touch will (eventually) be complimented by a drop for the Nano. Or a capacity hike.

[Joel @ Feb 18th 2008 4:24PM]

Liam
I'll sell you a hardly used IPOD nano for 100 bucks.
Problem is, it has my name and handle engraved...
I bought an IPHONE, I don't ever use the nano anymore.

[what @ Feb 18th 2008 4:26PM]

I agree. I want my flash players small and I don't mind having a HDD with my video player. It's going to have a big screen, so paying a premium for flash on a video player is unnecessary with current flash prices.

This is why I have a 2nd gen nano as my music player and an Archos 605 as my video player and won't be buying a new iPod until at least the new lineup in September. Leaning toward a new iAudio though, if they fix the interface.

[Russell @ Feb 18th 2008 2:26PM]

Anything less than 16GB of storage is useless to me (32 would be really the ideal number, but I can survive 16), but with rumors of price cuts theres no way I'm going to go buying a 16GB iPhone for $500. Come on Apple, I finally have the money, now all you need to do is deliver the goods at a reasonable price.. (I would even pay $500 if I wasn't looking at a $175 termination fee with Verizon).

[Katarn @ Feb 18th 2008 3:18PM]

I just switched over from Verizon and AT&T paid my $175 fee to switch

[kal326 @ Feb 18th 2008 2:28PM]

Cue the lawyers in 3...2....1....

[Rob @ Feb 18th 2008 2:34PM]

What lawyers? A manufacturer has the right to lower and raise the price of the products any time they want to. They don't need the customers' permission to do that. Now, a consumer has a right to decide if they want to buy or not, and competitors as well force companies to lower the price of their products. Remember when the Zunes first came out? The iPod with video went down between $30-50. That was the result of competition in the horizon.

[kal326 @ Feb 18th 2008 2:40PM]

@Rob
The last time Apple price dropped and discontinued a version of the iPhone people got their shit all bent out of shape, who's to say some idiots won't try it again.

I could care less if something dropped in price days or weeks after I bought it, I didn't wait and paid more for something at the time. I bought a 4200+ X2 right before AMD did a massive price drop of around 33% on the chip. It was rumored to possibly be happening, I bought early and got burned within a months time. My mistake, the first thing that crossed my mind was not litigation.

[scotjo @ Feb 18th 2008 3:00PM]

Why do people feel that the price of something should never drop after they've bought it. It's not an investment. You're buying a disposable item (yes, even an iPod/iPhone is disposable) that won't be worth much in a couple of years. If you think it's $100 overpriced, don't buy it now. If you want to be in the club today, then it will cost what Apple says it costs.

[Bachus @ Feb 18th 2008 2:28PM]

More hardware/pricing changes? I already bought the phone, I just want my SDK, Apple!

[HOOPER @ Feb 18th 2008 2:35PM]

Agreed. It's February, Steve.

[Jamma @ Feb 18th 2008 4:18PM]

Hey, Hey, Stevie J!
Where the F**k Is our SDK?

[caramelzappa @ Feb 18th 2008 2:32PM]

They need to stop dropping the lower models. I would never buy an iphone for $400, it's just too much money for a phone. If they drop the 8gb to $300 I'd consider it but realistically I wouldn't buy it unless it's $250 or less. It could be the 4gb iphone for $250, but I think it would pull in a lot more customers.

[Homeboy @ Feb 18th 2008 2:29PM]

Yupp they will. When Apple introduced the 32GB touch I laughed. The first thing that crossed my mind was that Apple are bound to drop the price 2-3 months after launch, because these days a DAP priced at $500 is blasphemy. Those who have bought one can officially feel like deceived early adopter Apple fanboys.

[ChillyWilly @ Feb 18th 2008 3:59PM]

I would buy a $399 32gb iPod touch. I'm happy to hold off on one until the prices drops, which is eventually will.

[Zach @ Feb 19th 2008 12:19AM]

agreed
i'm actually purposely waiting for the price to drop, since i know that it will maximize the time between burning sensations in my brain knowing apple lowers their prices every couple months.

[CaptCaveman @ Feb 19th 2008 1:32AM]

If there is one thing that always rings true on this little planet of ours.
Whatever you buy. No matter how long you wait. Will drop in price 32-45 days after you buy it.

[derX @ Feb 18th 2008 2:30PM]

As the saying goes:
If it's too good to be true, Apple will not do it and you're left dreaming and SOL.

Or something to that effect. Anyway, at $299 or even I could totally see the 8GB iPhone fly off the shelves. And with the SDK coming out, 2 of the big foibles with the iPhone will have been (somewhat) treated: its uber-expensiveness and closed platform.

[MikeLong @ Feb 18th 2008 2:30PM]

Sweet. And to think I just paid $437 for my 8gb iPhone 5 days ago.

[Seoultrain @ Feb 18th 2008 4:38PM]

you've got time to return it then.

[FK @ Feb 18th 2008 2:35PM]

3G please...

[Rob @ Feb 18th 2008 2:37PM]

I'd like to get the iPod touch, but not until the prices come down to the 30gig "video" version. When the flash storage joins the 32gigs and a price of $250, then I'd buy. $299 for 8gigs is too expensive.

[Phil @ Feb 18th 2008 2:38PM]

I've been desperately trying to hold off getting a 16gig iPhone ever since ZiPhone was released, and the only thing really holding me back was that my music collection currently stands at abut 17gig. Although it can be pruned back (I mean, do I really need the entire Flaming Lips back catalogue?) it would leave me with very little room for new stuff.

Damn you Apple, just release an easily hacked 32gig iPhone already!

[ogvor @ Feb 18th 2008 2:40PM]

Damn, I just bought an iPod Touch on sale for 350$ (withou the new software bundle).

[venk @ Feb 18th 2008 2:44PM]

"we actually think a $199 8GB touch would fly off shelves, but that's probably cutting margins razor-thin."

LOL! Only at Apple would a 60% profit margin be considered razor thin.

[Scott @ Feb 18th 2008 3:27PM]

Way to discount the engineering costs and Apple's ridiculously expensive marketing campaigns.

[venk @ Feb 18th 2008 3:36PM]

Way to discount the effects of long term fixed costs.

[Matt @ Feb 18th 2008 3:59PM]

You got to love Apple's ridiculously expensive advertising campaings. I mean, the iPhone has sold what? 4.5 million units? And you see an iPhone commercial at least once a day. But the HTC Touch, which has never been marketed at all STILL sold 2 million units in the same amount of time.

[Nate the Prophet @ Feb 18th 2008 2:56PM]

I actually need a new iPod now because my wife stole mine. 16GB would be ideal for me (though I wouldn't turn down 32GB for a good price).

I wish they had a 16GB Nano--I'd buy that in a heartbeat. But if they don't and drop the Touch by $100, I think I'll get that.

Honestly, I'd much rather get an iPhone, but I can't do the 2-year service agreement because I'm leaving the country next year.

[Alex @ Feb 18th 2008 6:34PM]

Just jailbreak it and don't sign a two-year contract. That way Apple doesn't get a cut of the contract from AT&T.