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December 8th, 2008

CONFIRMED: Two iPhone models to sell at Walmart (this month!)

Posted by Andrew Nusca @ 10:34 am

Categories: Apple, Consumerism, iPhone 3G, iPhone original

Tags: Apple iPhone, Wal-Mart Stores Inc., Apple Inc., Investment, Cellular Phones, Telecom & Utilities, Finance, Consumer Electronics, Personal Technology, Andrew Nusca

Apple iPhone 3GWalmart will begin selling two models of Apple’s iPhone at the end of this month, according to two store representatives via the Bloomberg news wire.

The news confirms rumors that surfaced last month.

Employees at five California stores confirmed that Walmart will offer iPhones by the end of December. Employees are currently being trained on how to sell the device, all five reported.

Before now, the iPhone had been sold only by Apple and AT&T Inc., and starting this past September, Best Buy.

But what about the rumored $99 4GB iPhone? The companies won’t say a peep other than confirming the $199 8GB iPhone and the $299 16GB iPhone:

Analysts say Apple may offer a discontinued 4-gigabyte version through Bentonville, Arkansas-based Wal-Mart and sell it for $99. Apple currently sells two models at $199 and $299.

“A $99, Apple-branded cell phone is inevitable,” said Shaw Wu, an analyst for Kaufman Brothers in San Francisco. “One of the key things Apple needs to do to drive broader iPhone adoption is to build a more complete product line” with low- end, mid-range and high-end products, Wu said in a Dec. 5 note.

Apple spokesman Steve Dowling wouldn’t respond to the report and said the company “does not comment on rumor or speculation.” Wal-Mart spokesman Dan Fogleman said the company hasn’t made an official announcement on an iPhone offering and has no comment. AT&T spokesman Mark Siegel declined to comment.

On the other hand, Macrumors is saying a $99 device is unlikely:

Based on available Wal-Mart training materials and advertising (pictured above) we’ve received, however, it seems that this rumor is unlikely. The advertising shown only lists 8GB iPhones for sale at $197, without any hints of a cheaper model.

Walmart may reportedly have the devices in stock the day before Christmas, according to one employee. Another store clerk reported that they’ll go on sale Dec. 28.

Andrew NuscaAndrew J. Nusca is an associate editor for ZDNet and SmartPlanet. See his full profile and disclosure of his industry affiliations.


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