The New $199 iPhone Is $160 More Expensive Than The $399 iPhone It Replaced. What?

The New $199 iPhone Is $160 More Expensive Than The $399 iPhone It Replaced. What?

Apple’s new 3G iPhone might seem like a bargain at $199: more features, 3G speeds, and $200 cheaper than the original model. Great, except it’s not actually cheaper. The new $199 iPhone is actually $160 more than the $399 iPhone it replaces.