Update: If you currently have an iPhone on a contract then you will not be eligible for a standard iPhone upgrade – bummer. You will, however, be eligible for a full retail price upgrade (Prices below).

• $499.00USD — 8GB iPhone 3G (black)
• $599.00USD — 16GB iPhone 3G S (black or white)
• $699.00USD — 32GB iPhone 3G S (black or white)

WWDC was awesome this year ’round. Apple has announced a new iPhone. Say hello to the iPhone 3GS! The fastest and most powerful iPhone yet.

As you can see, the iPhone 3GS looks exactly the same as the current shipping iPhone 3G, the rumored iPhone 3GS leaked pictures were completely fake. The iPhone 3GS will come in 2 models – 16GB and 32GB.

What about features?

• 3 megapixel Camera – Autofocus – Tap to focus -Video recording
• Improved performance
• Built-in video camera with editing
• Voice Control – Voice Dial and Control the iPod
• Compass – you can tap to go right into Maps, and if you tap a second time it will orient the map to where you’re facing
• Cut, Copy, and Paste – Comes with iPhone OS 3.0
• MMS – Comes with iPhone OS 3.0
• Spotlight Search – Comes with iPhone OS 3.0
• Voice Memos – Comes with iPhone OS 3.0

Battery life:

• Talk time: Up to 5 hours on 3G – Up to 12 hours on 2G
• Standby time: Up to 300 hours
• Internet use: Up to 5 hours on 3G Up to 9 hours on Wi-Fi
• Audio playback: Up to 30 hours on audio
• Video playback: Up to 10 hours of video

Apple is being very aggressive with pricing, the iPhone 3G will stay and will sell for $99USD for 8GB model and the new iPhone 3GS will sell for an amazing $199USD for the 16GB model and $299USD for the 32GB model. And it will be available to buy June 19th! So get ready to go stay in line.

- source: store.apple.com