Wow, am I tired of the whole price drop kerfluffle. Suck it up, early adopters. This is what happens in the technology world. Things get better. Prices get lower. By the logic of the whiners, no company should ever pass along the savings of economy of scale to consumers. Because it's not FAAAAIR! It's called supply and demand. You should look into it.
Apple is selling this thing like gangbusters. And all the drooling, glassy eyed gotta-have-its (myself included) already have it. If Apple wants to maintain their lead, if they want to stay ahead of the copiers, they need to reach the next tier down. The only ways to open up large new markets are to (1) open the iPhone to more carriers (which they can't right now, due to their deal with AT&T) or (2) drop the price to make the Jesus phone tempting to the guy who is comparison shopping the iPhone versus a free Motorola RAZR.
Apple has driven a harpoon into the stupid, false practice of subsidizing phones with a long-term contract. If we as consumers can buy the phone we want and pair it with the carrier and plan we need, we'll all be winners in the long run. And make no mistake, that is where this is headed if the iPhone can gain enough traction. All the mobile makers would love to charge a fair price for their handsets, and eff the carriers and their bullshit.
I don't feel entitled to anything, but I'll happily take my $100 (Thank you, Steve. How very nice of you.) Free Apple stuff? Brother, you just said three of my favorite words.