O2 slashes iPhone by ?100

8GB version of Apple's touchy-feely mobile now ?169 on a ?35 per month contract
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From today O2 UK customers can buy the 8GB version of the iPhone for £169. The limited-time offer runs until June 1st and is available online and from O2 and Carphone Warehouse stores.

It's an unexpected move and, strangely, the 8GB device will continue to sell for £269 in Apple's own UK stores.

To read the full story, head over to PC Retail's sister-site Mobile Entertainment.