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Apple announces $199 3G iPhone with 11 July release date

The wait is finally over: Apple unveiled its 3G iPhone last night at its WWDC show, and as expected it includes GPS too. There’ll be two models: 8GB and 16GB, with the price of the former pegged at $199. Here’s the thing though: operators are free to subsidise the cost of the device, with O2 UK already announcing that it’ll be giving the 8GB model away free to anyone who signs up to a £45 monthly contract. It’ll go on sale from 11 July, around the same time as the iPhone App Store, selling downloadable applications. Several were demoed last night, including Band – a music app that lets people create songs with a virtual piano, guitar, bass guitar, drumkit and vinyl scratcher.

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