iPhone 3GS $49 on Apple.com as well

Apple is now selling the 8GB iPhone 3GS for $49, half the price is was just a week ago, matching AT&T's recent price drop.

While the hardware is 18 months old, the iPhone 3GS is fully updated to iOS 4.2.1 and runs it well. You'll miss out on FaceTime, the Retina Display, and the higher quality cameras for stills and video, but not much else. As a budget smartphone goes, it's killer. Still, $49 compared to a $199 iPhone 4 is peanuts when you compare the total cost with a 2 year contract. Oh, and this one won't run on Verizon...

Check out our complete 8GB iPhone 3GS review and let us know, up front savings make it compelling for you?