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It's Official.

O2 has come out and confirmed what was meant to be my Mobile Today's exclusive that the iPhone will today receive a £100 price cut.

The 8GB entry level handset will consequently be priced at £169 on all contracts - which start from £35pm for 600 minutes, 500 texts, flat rate data and free access to Cloud WiFi hotspots. The promotion will run until 1 June soon after which an upgraded iPhone is expected to be announced with 3G/HSDPA connectivity. The 16GB iPhone will not be included in the deal and will remain at a now utterly unappealing £329.

"With the highest customer satisfaction of any device on O2 and unparalleled mobile Web access, the iPhone offers the best mobile experience in the market," said the telco in a statement. "Through introducing this special offer, O2 aims to expand the iPhone's reach, bringing its benefits to an even greater number of customers."

Interestingly, O2 hasn't taken any additional security measures for the reduced price handset. Customers can walk into the store buy it over the counter without signing a contract and unlock it home. Playing with fire O2?

Furthermore, at this stage it is unknown whether O2 has any deal in place with Apple for a subsequent 3G iPhone or whether it will be forced to bid once more. Either way however it will want to shift as many EDGE models as possible before 3G mania takes off…

Link:
O2 iPhone

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