Buying the $99 iPhone 3G with no contract instead of the iPod Touch – how much would it cost?

The 8G iPod Touch and the 8G iPhone are very similar except for the phone and camera (which the iPhone has, and the Touch doesn’t). Now that Apple is selling the 8G iPhone 3G for $99 (with AT&T two-year contract), I wondered just how much more it would cost to get it over the 8G iPod touch if I tried to buy it without a contract. The answer? $499 (plus tax).

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