You are right,it could be risky, as far Apple don't seems to have any problems with sales, but cheap iPhone will definitely find huge amount of potential buyers/customers... but we will see what happen, time will show. :)

Well cheaper doesn't mean that it will be cheaper, as in build quality, but rather cheaper as in its just going to be less expensive. I can see them release a slower iPhone for $100 less and it would still sell like hot cakes. The fact they don't suffer from fragmentation as much as Android it could be possible, as i'm pretty sure all the latest apps still work fine on the 2nd gen iPhone.

At least Google gives you a lot more free stuff at the end of the day. I will never buy an iPhone unless it allows me to time travel...and that's if Google can beat them to that as well.

That's the thing tech geeks will never understand.

"but Androids can do the same as their current expensive iPhone devices..."

features are certainly important, and make up a large part of a successful smart phone.

But there's something equally as important something google doesn't do nearly as well as the Iphone.

Execution, saying my can do everything the same as yours and it cost less is awesome. But when one is twice as user friendly as the other it's clear you get what you pay for.

@Rush - Androids are user friendly :S

Nice. I had the Nexus One from the Hay Days, so it's always been a good experience for me getting updates first and getting pretty much anything to work on it, with a good dev platform. I want to try out WP7 but I have no money these days :/ hopefully one of my friends gets one for me to try out