$200 iPhone?

Fortune reports that AT&T may be planning subsidize the iPhone to the tune of $200, reducing the cost of the entry-level 8GB to $199 with a two-year contract.

The lower retail price would likely attract more buyers and help AT&T scalp even more customers from competitors—something the iPhone has effectively done with up to 40% of buyers reportedly coming from other carriers.

Whether the $200 price reduction comes as a direct subsidy or in rebate form, Forbes speculates that only those purchasing directly from AT&T would be eligible.

(Via insanelygreatmac.com.)

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