There has been a lot of buzz about the release of Apple’s new iPhone – actually, it is the old iPhone, with a new price. $99.00 now buys the same iPhone that used to cost $199.00, but it will have an updated software package. You’re not done after paying your $99, though, because service plans can run up to $150 per month for unlimited plans. The price of the iPod Touch remains at about $214-$220, and there are no monthly service charges.

The iPhone 3.0 S (S is for Speed) is available at the “old” iPhone price of $199. It has nifty features like the video recording, the compass, and, of course, speed, that the previous version does not support.

I would predict that as the price of SmartPhones drops, not just with the iPhone, but others as well, they will become more ubiquitous. At this point, a lot of people who I run into are still quite protective of their new iPhones. I think that the drop in price will help iPhone users feel more comfortable with letting their children borrow their iPhones for games, music, and other downloads.

“You’re looking not just at an expensive thing for mom and dad but something for kids,” notes Leticia Barr, who runs the blog TechSavvyMama.com.

“More users [might] be willing to try out the iPhone because of its vast capabilities,” he said. “Oh, and by the way, I can also let the kids play games on it and use it for educational things. It becomes more of a multi-purpose family device,” claims Time Bajarin of Creative Strategies Inc.