Apple CEO Steve Jobs posted an open letter [1] to the company's Web site last week acknowledging the dissatisfaction over the iPhone price drop [2] shared by the hundreds of thousands of people who previously purchased iPhones. Although details are still being worked out, Apple plans to offer "every iPhone customer who purchased an iPhone from either Apple or AT&T, and who is not receiving a rebate or any other consideration, a $100 store credit towards the purchase of any product at an Apple Retail Store or the Apple Online Store."
Granted, store credit isn't the same as $100 in cold cash, but it certainly makes an iPhone Bluetooth Headset [3] ($129) or other accessory more appealing.
In his letter, Jobs defended the decision to cut the iPhone's price from $599 to $399 (for the 8 GB model; the 4 GB model has been discontinued). He wrote, "iPhone is a breakthrough product, and we have the chance to 'go for it' this holiday season. iPhone is so far ahead of the competition, and now it will be affordable by even more customers. It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'. We strongly believe the $399 price will help us do just that this holiday season."
Details of the rebate will be posted this week; according to the letter's wording, it appears the rebate will apply to purchasers of both the 8 GB and 4 GB models, but we'll have to wait and see for specifics.
[1]: http://www.apple.com/hotnews/openiphoneletter/
[2]: http://db.tidbits.com/article/9152
[3]: http://store.apple.com/1-800-MY-APPLE/WebObjects/AppleStore.woa/wa/RSLID?mco=50EAE288&nplm=MA817LL/A