Unsubsidized iPhone May Sell For $700

AT&T has still remained mum on the subject of unsubsidized pricing for the iPhone 3G. This is something people are interested in, since many people may not end up qualifying for the unsubsidized price, due to already being mid-contract. (Granted, we still don't know exactly how AT&T plans on handling this situation). However, some recent news from O2 might give us a good idea of what to expect.

O2 will be charging anywhere from free to £99 (for the 8GB model) which, on the higher end comes up to almost the same as what we are expecting to pay over here. Unlike AT&T, O2 will be offering the iPhone with one of their prepaid plans. You will have to pay an unsubsidized price to get one of these, and they've been kind enough to announce the unsubsidized price, which is £350. Now if this unsubsidized price holds true here in the US, we could expect to pay around $700 for an 8GB iPhone.

Edit: Updated to reflect correct price

[via macrumors]