In a letter addressed to “all iPhone customers” on Apple’s website, Steve Jobs defended the decision to drop the 8GB iPhone’s price from $599 to $399 less than two months after the device went on sale. The announcement, while met with some excitement, was also greeted with much gnashing of teeth by those who consider themselves the most loyal to the company. “iPhone is a breakthrough product, and we have the chance to ‘go for it’ this holiday season,” Jobs wrote. “iPhone is so far ahead of the competition, and now it will be affordable by even more customers.”
Source. Good news for those who were feeling shafted by the new price drop.