Wal-Mart Slashes iPhone 3GS Price to $97

Kris Erickson • May 25, 2010 • Comments ()

One of the main competitors for Sony's PSP video game system just got a lot cheaper. Wal-Mart says it's cutting the price of the most up-to-date iPhone in half. Starting on Tuesday, the iPhone 3GS with 16 gigabytes of flash memory will cost $97 with a two-year contract with AT&T, down from its original price of $197.

This is a major sign that Apple is getting ready to unveil a new model. The company was embarrassed last month when leaked photos emerged on the Internet depicting what appeared to be a successor to the current generation iPhone. The 4G new model features a forward-facing camera and a slightly flatter, geometric design.

The price cut could signal that retailers are clearing the shelves to make room for this new Apple smart phone.

Should you take advantage of the new lower price and buy one? That depends how important some of the new rumored features are to you. We'd probably wait until the new hardware is officially unveiled in June and make a judgment then. Meanwhile as the current-generation PSP hardware starts to look more and more dated (without touch screen or 3G connectivity), a price cut could be looming for Sony as well.