Apple Launching 8GB iPhone 3GS At $99 To Counter Droid?

Apple could launch a 8GB iPhone 3GS for holiday season

Despite all the never ending debates about whether or not Droid matches up to the iPhone, one thing that Motorola and Verizon deserve to be credited with is the timing of the launch. 

With the shopping season just starting, the companies can well expect the sales of Droid to pick up as we near the holiday season. 

The hype surrounding Droid could affect the holiday season sales of iPhone as Apple and AT&T already seem to have thought it out. Folks at BoyGenuisReport are reporting that the two companies could possibly be launching an 8GB iPhone 3GS at $99 to counter the Droid threat. As of now, it is still a rumor, but it is a very interesting possibility. 

The Droid has been launched to effectively take on the current iPhone 3GS models. The upfront cost, average usage plan costs and the unlimited usage plan costs for both iPhone 3GS and Droid are exactly the same. Verizon's thought process could be that at an exact same cost, consumers are more likely to go for a new hyped gadget than one that has been around for a few months now. 

With an 8GB iPhone 3GS, Apple could effectively counter the Droid threat without having to engage in an explicit price war. But from another perspective, the launch of a $99 iPhone 3GS could also potentially cannibalize the sale of the higher priced 16GB and 32GB iPhones. A fine call would then be to launch a limited edition 8GB iPhone 3GS for the holiday season. 

Whatsoever, this could be an interesting move from Apple and we shall keep you posted on the updates. If the rumor were to be true, do you think it is a smart move from Apple? Please put forth your opinion in the comments. 

[via BoyGeniusReport]

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