[houltmac]

Has anyone seen a direct quote saying the iPhone is actually subsidised at the $199 (8GB) price point? Thinking about it, the parts they are buying/making are being done én mass and have been for a while. I would expect 3G chipsets to be cheaper than 2G (it's far more popular and thus larger masses again), and I would imagine there are other savings I am not thinking of.

Overall I have to wonder if the iPhone really does just cost $199 now.