I have 50gb of music. They need to start making 120gb iPhones for ppl with tons of music and want room for vids, apps etc
Not going to happen. Apple makes a music player with 160GB of storage, and, I'd say, someone with 50GB+ that they WANT on their device would need to look for a separate device.
Apple will increase storage in line with what is technically possible (chip sizes, space, etc.), not with what people want. The iPhone is designed primarily to call people and to access interwebs, the iPod functionality is nice, but an extra, rather than a central focus.
This was shown when, 3 months after the 3GS has a top limit of 32GB, the new touch comes out with a top limit of 64GB. That was the maximum that could be reasonably fitted in, and in a device where playing music is a central feature.
WRT to the original topic, I'd like to think that the new phones will slot into the current brackets, but I wouldn't be surprised to see a few bumps in the prices. Nothing significant, just enough for Apple to say "Looky here! New stuff! Buy, Buy, Buy!".