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Tech bloggers, analysts and all those unnamed secret sources seem to agree on one thing; Apple will embrace the mid-range/pre-paid mobile phone market this year. What they don't agree on is how they will do it. Will Apple follow tradition and discontinue the iPhone 3GS, or will they give it a new look and offer it at an affordable price? Some people believe that they preparing to launch two new models, the iPhone 5, and a cheaper device to attract people on a budget. Decreases in the iPhone 3GS supply chain seem to suggest that the device is on its way out. This could be a sign that Apple is clearing space for their rumored new models.

Several sources revealed to 9to5Mac that shipments of the iPhone 3Gs are rapidly decreasing in other countries and even the United States. A decrease in iPhone 3GS stock could be a sign that the device's days are numbered.

If you've waited this long to buy an iPhone 4 or iPhone 3GS, it looks like patience will pay off at the end of this month. The leaked screenshot below shows internal documents indicating that third-party iPhone retailer Radio Shack is getting ready to slash prices on the iPhone starting today (July 31, 2011). To qualify for the new subsidized pricing customers must sign up for a two-year contract.

Both iPhone 4 models will drop $30 off the selling price, assuming the document sent to Engadget is authentic. This brings the price of the 16 GB iPhone 4 to $169.99 and the 32 GB model to $269.99. The 8 GB iPhone 3GS will also be reduced and is offered here for $19.99. We have already seen AT&T sell refurbished iPhone 3GS units for as low as one cent with a two-year contract.

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Chinese iPhone case manufacturers aren't just leaking photos of their next generation products online. According to MICGadget iPhone 5 cases are "everywhere" in China and ready for distribution. If you're willing to buy a minimum of 500 cases the wholesale cost starts at 30 cents a piece.

The cat is out of the bag, and the proliferation of similar case designs now serve as a good indicator of the shape of the next iPhone. New evidence from AT&T and Apple point to a September iPhone 5 launch date only weeks away.

With data-hungry Android devices taking over and the iPhone 5 due for release in the next month or two, AT&T is getting serious about usage tiers. iPhone owners who currently enjoy an unlimited data plan may think they have carte blanche to single-handedly dominate their local cell tower's data connection, however starting October 1st AT&T will be watching.

The wireless carrier plans to slow down transfer rates on the mobile devices of the top five percent of unlimited data users every month. Here's how it works: if you transfer enough data on your mobile device that you fall within the top five percent of users AT&T will throttle your speeds until the start of your next billing cycle. Of course, this won't happen immediately.