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@radha - the iPhone(16gb) is $200 and it requires you to have a 24 month contract with AT&T. If you already have a AT&T contract its just an extra $399(16gb)/$499(32gb) to buy a new iPhone (the old 8gb iPhone is $100 cheaper while stocks last).

On to the PSP Slim rumour i believe its true. I also see it as a major factor in a possible price drop for PS3 this year. SONY will obviously drop the price by atleast $50, however i wouldn't be surprised to see them drop the price by $100 if the PS3 Slim is cheap enough to manufacture.