I think this price will only be for the AT&T version and only with a two year commitment with a $375 early termination fee. The new iPhone 4G will be the one that will be available on other networks as well as AT&T if that is going to happen.
Will the 4G iPhone be offered sans contract, any time in the future? I’d heard the 3GS is offered in that manner in ATT stores. I’d buy one in a heartbeat, if that were the case. I travel frequently (L.A., London, Sydney, Bangalore), and need a phone whose SIM card can be swapped several times a year.
The iPhone 3GS is the best handheld device ever designed. I’m not sure deviating from the minimalism in designing the 4G was a good idea. I have to see how Android 2.2 fares, in the future months.
The early termination fee won’t go up until June 1, so this may be a chance to get a 3GS for a reasonable deal.
I predict that everyone else will offer it for around $99 on Memorial Day Weekend as well.