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.)

ars technica is reporting that AT&T will make their hotspots free to iPhone owners.

Reader Brian Zushi tipped us off a little while ago to the fact that AT&T WiFi hotspots offered not only an iPhone portal, but apparently free, unlimited access for the device. This evening, Brian sent us the screenshots you see here. Apparently, no AT&T hotspot account is necessary, as users are simply prompted to enter their 10-digit mobile number to gain access. We assume this means the hotspot checks the phone number against AT&T’s iPhone account records, which leads us to assume that unlockers may be left out in the cold on this one.

My iPhone is saying it’s about time!

(Via arstechnica.com.)

You may not know his face. But you know his work. iPod’s, iMac’s and The modern VW BugHe is Apple’s secret weapon. Making the mother ships products great to view and touch.

Below is an interview with Jonathan Ive.