Dallas - AT&T (NYSE: T) on Tuesday announced its pricing for the Apple (NASD: AAPL) iPhone 3G, noting that some time in the future it will for the first time sell the device without a two-year contract agreement, for an extra $400.

Consumers buying an iPhone 3G without the standard two-year contract for $599 (8GB)/ $699 (16GB) will still have to sign up for some sort of AT&T contract.

Also, unlike with the previous model, consumers will have to activate their iPhones at the time of purchase inside an AT&T store -- precluding the ability to "unlock" the device for use on a competing network.

The standard iPhone 3G purchased with a two-year AT&T contract -- which range from $69 to $129 per month -- will sell for $199 (8GB) or $299 (16GB) from July 11.

Related Links:
http://biz.yahoo.com/prnews/080701/aqtu507a.html?.v=2

http://www.att.com/iphone