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Price of iPhone slashed by £100

Offer starts today but lasts just one month

An iPhone in a hand

Retailers will today slash the price of the Apple iPhone by £100 for the next month.

The Carphone Warehouse and mobile phone operator O2 said they would sell the 8GB iPhone for £169 until June 1.

This is a cut of more than a third of the gadget’s original price within five months of its much-anticipated launch.

Newer iPhone

The newer 16GB version will continue to sell for £329.

Apple stores will continue to sell the 8GB phone for £269.

An Apple spokeswoman said: ‘This is an O2 promotion and our prices will remain the same.’

Refund for recent buys

The Carphone Warehouse said it would reimburse customers who bought the 8GB phone within the past 30 days with a £100 voucher.

Carphone Warehouse will reimburse those who bought the phone in the last month

An O2 spokeswoman said: ‘The offer is available from today on all O2 iPhone tariffs and will create additional momentum for what has been O2’s fastest-selling device.’

O2, the iPhone’s only UK network operator, would continue to offer three monthly tariffs of £35, £45 or £75.

iPhone 2

Which? Technology Editor Matthew Bath said: ‘With this cut, it’s now cheaper to buy the 8GB iPhone than Apple’s iPod Touch, which offers similar features but lacks a phone.

‘While consumers may want to grab this bargain, the move could be in anticipation of Apple’s rumoured iPhone 2, which industry watchers say will launch in June. The iPhone 2 could feature newer 3G mobile technology, more storage space, and an improved camera. Apple’s chief executive, Steve Jobs, has previously stated that a 3G iPhone will be launching in 2008 – so O2 and Carphone Warehouse may be simply clearing their shelves ready for the new model.’

Price cut in US

Last September, Apple cut the price of 8GB iPhones in the US by $200 (£99) to $399.

The gadgets went on sale in the UK on November 9.

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