Why the iphone 3G cost so much?

I saw the Iphone 3G video on youtube, and in there they say they will sell the iphone 3G 8GB for only $199, but when I want to buy one, I search online and many website sells it over $700, why?

Answers:
does the one come with a contract? because that will usually knock off some $$.
Because tons people want to make a profit for a "hot now" item. Alot of AT&T and Apple stores are selling out hurried, so people think "hey, i'll buy one, and deal in it at triple the price online". I suggest just waiting for one at the offical store, or waiting a few more weeks to see if the price goes down.
The one and only place you can buy a iPhone 3g for $199 is from Apple or ATT. At that price, the cost of the phone is being subsidized by ATT, and they will require you to sign up for a 2 year contract. If you are looking at an iPhone, but don't want to sign up with the ATT dataplan, later the price is closer to what you found. It is also possible you are looking at jailbroken or unlocked phones, sold by 3rd party sellers.
Don't by from a website. Its probably a scam. Get one in the store and you will obtain it for $199. An AT&T store.
Hi.

I found one great 3G iPhone site next to a lot of info, Applications, 3G iphone cases, great reviews, price compares, how to unlock 3g iphone etc.

http://buy-3g-iphone.com

Cheers



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