8GB iPhone - Only $399!

So today's event was centered around the iPod, with a few little extras sprinkled in. The iPhone was not forgotten though. Well, I should say the 8GB iPhone wasn't forgotten, the 4GB model is a different story.

The 8GB iPhone has just gotten a major price cut. $399 is dirt cheap, since it used to be $599. But what about the 4GB model, will it get a nice price break too? Nope, it's getting kicked to the curb. Apparently no one wants the poor little guy.

I have to say that this was probably the most shocking announcement at the show. The WiFi iTunes Store was pretty big too, but I don't think anyone really expected to hear anything about the iPhone so quickly after its launch. I am curious to see if they'll be offering a refurbished 4GB iPhone for dirt cheap though.