T-Mobile to sell iPhone 3G for 1 Euro in Germany -- with a hefty rate plan

When Steve Jobs said during his WWDC keynote that $199 and $299 would be the maximum prices for the iPhone 3G worldwide, he wasn't kidding. As we speculated, cheaper iPhones with higher subsidies from other wireless carriers are now making their debut. The T-Mobile Web site currently states that the iPhone will be sold for prices starting at 1 Euro with certain tariffs (rate plans).

The site says that complete plans start at 29 Euros monthly, with up to 1000 minutes and 300 SMS included. The company is also offering online pre-orders with a 25 Euro deposit, guaranteeing the first 1,000 customers a phone on July 11th.

In order to get the 1 Euro deal, however, you'll have to spring for a 69 Euro per month plan. With that plan, an 8GB iPhone 3G costs 1 Euro and a 16GB iPhone 3G costs 40 euros. With an 89 Euro per month plan, you can still get the 8GB iPhone for 1 Euro, but the 16GB model will cost only 20 Euros. With a base 29 Euro per month plan, the 8GB iPhone will cost 170 Euros and the 16GB iPhone 260 Euros.

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