Weeks after the iPhone came out, and days after the price drop I still see so many auctions for iPhones going for much more than you can get it it for from the store or Apple.com. Why?

iPhones are not like other cellphones you've bought that give you a cheaper price if you sign a 2 year contract. The iPhone is $299-$399 no matter what. No contract, 2 year contract, 10 year contract...whatever, thats the price of the phone. You don't even activate the phone in store. You go home and do it anytime you want thru iTunes. Even if you never activate that phone, its still $299-$399. When you finally decide to activate the phone is when you agree to a 2 year contract. Do yourself a favor, go to an AT&T Store or Apple.com for an iPhone and save $$$. Stores and Apple.com still have plenty stock of the 4gb's too. If you can't find it on Apple.com, type it into the search box.

Unlocking...there are many sites showing for Free that give directions and the software needed to unlock you iPhone. This should get easier as time goes by, but right now it's a bit more complicated if your not tech savvy, but there are very good sites & instructions out there to help you. Google it. There's no guarantee that an Apple update won't lock your phone again, this is something to think about when buying an "unlocked" phone too. Also some people have been getting AT&T Prepaid Service with the iPhone. This way you have no contract and pay monthly for a certain amount of minutes depending on you plan. Google it.

If you do unlock it and use another service, you might want to look into a Unlimited Data Plan. The iPhone checks for email and other things thru out the day. If you don't have unlimited Data, or your Roaming this can get very expensive, very fast! There are stories of people going to Europe on vacation and coming home with $3000 bills. Ouch

Good Luck!