This rumour has been popping up and hitting me in the face all day, from all angles. Wired, Boy Genius, and Engadget have all reported it as a strong rumour, while some sites are claiming it as fact. What's the story?
The story is, there is no story. At least, not yet. There has been no official announcement and as our own lovable Jesus said, a $US99 iPhone doesn't really mesh with Apple's pricing strategy. Times are tough, certainly, but the iPhone is still selling quite well and there's really no need for Apple to go this route.
On the other hand, some hasty photos of Walmart training material have leaked, clearly showing a Walmart-branded brochure with an iPhone and AT&T's logo on the inside. My guess is that Walmart is indeed going to begin selling iPhones— but they'll come in the standard capacities, none of this discounted 4GB stuff. It's purely a gut feeling, but I don't argue with my gut. What do you all think? Unfounded rumour, partly true, or right on? [Thanks to everyone who sent this in]