via Gizmodo


There are a lot of iPhone users out there wondering what the arrival of the iPhone 3G means for them and their cool, but sluggish, first-gen models?

Well, O2 has confirmed that existing customers will be able to upgrade to the new model, for free in some cases but, in all cases, with a little catch.

You can get the new 3G model for free if you buy into the £45 or £75 per month contracts but, you will need to sign up for a new 18-month contract. You don't have to wait for your existing contract to end as that will stop as soon as you sign up for the new one.

If you want the new model but aren't able, or willing, to pay for either of those contracts, you can pay £99 and opt for the £30 or £35 per month contracts.

As for the pay-as-you-go option, don't get too excited. There are many who thought they could buy the phone cheaply without the contract and then get it unlocked on a different network to save a lot of cash. Well, Apple and O2 are aiming to squeeze those shoppers. Yes, there will be a pay-as-you-go option but it is expected that the phone will cost you a lot more - prices expected in the coming week.-Martin Lynch