8GB iPhone 3GS in Time for Christmas

November 6th, 2009 at 9:37 AM - Rumor by Jeff Gamet

Apple's own Phil Schiller said that the company's holiday product lineup is set for this year, but that's not stopping the rumor mill from claiming that an 8GB version of the iPhone 3GS is still on the way. No less that two unnamed sources are saying that AT&T will begin selling an 8GB iPhone 3GS for US$99 before Christmas, according to Boy Genius Report.

Apparently one of the phantom sources said that introducing a sub $100 iPhone 3GS is a move to compete with the new Droid smartphone launches.

Apple currently offers 16GB and 32GB versions of the iPhone 3GS priced at $199 and $299, and an 8GB iPhone 3G priced at $99. The iPhone 3G includes a still camera instead of a video camera, doesn't have a built-in digital compass, and can't take advantage of the iPhone 3GS Voice Control features.

Replacing the 8GB iPhone 3G with an iPhone 3GS version would make the $99 price point even more attractive to budget conscious smartphone buyers, but so far there isn't any tangible evidence to support the rumor.

9 Observer Comments

Jeff Gamet said on November 6th, 2009 at 9:58 AM:

Phil Schiller said Apple’s holiday product lineup is set, there isn’t any other evidence to back this up, and there’s already an 8GB iPhone. I don’t see an 8GB iPhone 3GS coming for the holidays.

Sir Harry Flashman said on November 6th, 2009 at 10:16 AM:

How much do those GBs really add to the cost of an iPhone? I am not being snarky, is it a significant part of the overall cost?

JulesLt said on November 6th, 2009 at 10:27 AM:

Look at the price differences on the iPod touch or Nano line-up or SSD drives - RAM is the main thing leading to price differences there.

This is going to remain the case for the next few years - although I think eventually prices will fall below our demand for capacity (as has happened with computers - once performance is acceptable, prices fall).

Sir Harry Flashman said on November 6th, 2009 at 10:53 AM:

Thanks JulesLt. I was looking for the actual cost of RAM in the iPhone. There is a $100 difference between the models, but does the RAM actually cost that much or is more of marketing thing.

starman4 said on November 6th, 2009 at 11:45 AM:

Cost of 8 GB reduced NAND flash is minimal. Probably $10 saved vs 16 GB…

“Toshiba scored the biggest single design win in the 3G S, with its 16Gbyte Multilevel-Cell (MLC) NAND flash costing $24.”

http://www.cellular-news.com/story/38186.php

So, AT&T and Apple may choose to lose some significant margin on the 8GB 3GS, but how will they divvy up the hurt? And will it be worth it for the mkt share gain?

Brutno said on November 6th, 2009 at 2:16 PM:

Sir Harry,

It’s more than memory and marketing. The 3GS has the fingerprint-resistant oleophobic screen and a 3 megapixel auto-focusing camera with video (vs. 2, fixed focus, no video). The 3GS also has a faster processor and a longer battery life.

Sir Harry Flashman said on November 6th, 2009 at 2:55 PM:

It’s more than memory and marketing. The 3GS has the fingerprint-resistant oleophobic screen and a 3 megapixel auto-focusing camera with video (vs. 2, fixed focus, no video). The 3GS also has a faster processor and a longer battery life.

That doesn’t answer my question pricing where the only difference between two iPhones is RAM.

iPhone 3G3 16GB $199
iPhone 3GS 32GB $299

Is that $100 difference due to the price of RAM?

Brutno said on November 6th, 2009 at 5:01 PM:

How much do those GBs really add to the cost of an iPhone?

I was looking for the actual cost of RAM in the iPhone. There is a $100 difference between the models,

Apologies. Didn’t realize you weren’t referencing the 8 GB Ram model. I posted based on the subject of this article.

Sir Harry Flashman said on November 6th, 2009 at 5:04 PM:

Apologies. Didn’t realize you weren’t referencing the 8 GB Ram model. I posted based on the subject of this article.

No need to apologize, I should have been more clear, but thank you and accepted.

You all have a great weekend.

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