Subsidized everywhere, and networked locked no doubt.
The remaining question is how much the contract will be. Since the phone is now cheaper i suppose the contract will be more expensive.
Woo, this thing is starting to look interesting now. My three complaints about iPhone First were price and lack of 3G and GPS. iPhone Second seems to address at least two if not all three of those. It'll be interesting to see whether they allow multiple networks to sell it though, 'cos the packages it comes with from O2 are pretty shite.
Not related to current components, but it looks like the company Apple aquired, PA Semiconductor, will eventually be making the processor.
http://cultofmac.com/jobs-claims-pa-semiconductor-will-make-iphone-ipod-chips/2082
It seems AT&T is indeed subsidizing the 3G iPhone.
The app store which opened up alongside the iPhone3G is a huge development. It already offers 600+ apps from freeware to $69, and that's after the SDK has been available for a few months.iphone is really cool but its lacking hte ability to have 3rd party apps and home brew (without hacking it )
Extremely easy purchasing interface, and the store is right there, on your phone, all the time. Distribution, marketing, money flow - all taken care of. Developers are jumping on it, and if I was looking to change careers, so would I.