i think apple will phase out the 8gb model. 8gb is really low even for a "$99" phone. there may be a 16,32,64 model for 99,199,299. There are a few things to take into consideration: 1) apple gets full value for the phone from carriers as the carriers get the 99,199,299. that's the price they charge for the devices because they are subsidized. 2) Apple is the largest buyer of flash memory so moving to a 16gb chip in the base model isn't going to charge much, if anything at all 3) toshiba make 64gb NAND chip starting in 2009, meaning a 64gb iPhone 4o ro even a 64gb 3GS could have been sold.