SAN FRANCISCO -(Dow Jones)- Wal-Mart Stores Inc. (WMT) said Friday it will begin selling Apple's (AAPL) iPhone 3G starting Sunday, but not at the dramatic discount some had expected.
The retailer said it would sell the eight-gigabyte iPhone 3G for $197 and the 16 GB model for $297. Prices are for phones with a new two-year service agreement with AT&T (T) or with a qualified upgrade, the retailer said in a brief statement on its Web site.
The prices Wal-Mart announced Friday are in line with iPhone 3G prices elsewhere, which should put to rest rumors the retailer known for selling low- cost items would also be dramatically discounting the iPhone. Some prominent Apple bloggers suggested Wal-Mart would sell the iPhone 3G for as low as $99.