Cheap iPhone might be headed to Walmart

Many techies and regular users are drooling over the iPhone, even if the $199 price tag puts it a bit out of many folks’ reach. However, Boy Genius Report says it’s received a tip about a cheaper iPhone that could be headed to Walmart. How much cheaper? $99, the site says.

Naturally, the lower price tag will involve some compromises. The $99 iPhone will reportedly feature only 4GB of storage capacity, and it will be tied to a two-year contract just like the $199 iPhone 3G. The cheapest iPhone 3G plan was ~$70 a month last time we checked, so the running cost for owning the device may be higher than for most other $100 phones. On the flip side, it’d be a $99 iPhone.

Boy Genius Report warns that its source "isn’t listed in our BGR’s Guide to respected Ninjas handbook," so this may be a hollow rumor. The concept of a $99 iPhone doesn’t sound entirely implausible, though, especially with French wireless operator Orange offering the 8GB iPhone 3G for €99 during the holidays. (€99 works out to roughly $125.)

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