The international version will work in "over 100 countries and territories", but Amazon doesn't specify if there are any additional charges for using it in a place other than the one where you bought it. It also looks like AT&T is the one that will be providing overseas roaming coverage for the GSM version. [Amazon]

Update: Ah, here's the bonus price.

Low Book Prices: New York Times Best Sellers and New Releases are $9.99, unless marked otherwise. When traveling abroad, you can download books wirelessly from the Kindle Store or your Archived Items for a fee of $1.99

As long as you're under the 90 days that their plan covers (which is everybody right now), just call 800-297-8019 and tell them that you're inquiring about the iPhone price drop. They should know what you're talking about, since they've been getting so many calls the past two days. The service representative we spoke to was extremely nice, only asking for some details like when you purchased the phone, whether you bought it at an Apple store, and how much you paid for it.

The rep said it wasn't usually covered under their plan, but since they love their customers so much, they're going to honor it this time. And that's why we love American Express. [Amex]

Image Credit

Third, even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price. Our early customers trusted us, and we must live up to that trust with our actions in moments like these.

Taken at face value, it's a great gesture to the early adopters, without which the iPhone would have tanked at launch. But if we dig a little deeper, we find out that there's not much loss in the decision.

$100 doesn't go a long way in Apple land. It can get you a keyboard and 3/5 of a mouse. It can you get an iPod shuffle and almost an entire set of spare headphones. It will buy you 5/6 of a Bluetooth headset. And this is just the cheapest items. Most people will use this $100 on something more expensive, like a Mac mini or as more of an incentive to buy a MacBook Pro or an iMac. Either way, the money's going back to Apple.

While we're poking around, what's up with the sudden price drop? What other product have you seen that dropped $200, or 1/3 of its price, only two months after it was launched? Did that product do well? Was it because the product was selling so fantastically that the manufacturer needed to drop the price? Probably not.

We're not complaining about "only" being offered $100 in rebate certificates. No, not at all. We think it's a great offer and a great gesture. But whether they did this because they really care about their customers, or they did this because people complained really, really loudly, is known only to Apple.

And for those of you who bought the iPhone on a credit card with price protection, $200 in cash is better than $100 in store credit. And if you're really sneaky, maybe you can get both. Don't tell them we said anything. [Gizmodo]

To all iPhone customers:

I have received hundreds of emails from iPhone customers who are upset about Apple dropping the price of iPhone by $200 two months after it went on sale. After reading every one of these emails, I have some observations and conclusions.

First, I am sure that we are making the correct decision to lower the price of the 8GB iPhone from $599 to $399, and that now is the right time to do it. iPhone is a breakthrough product, and we have the chance to 'go for it' this holiday season. iPhone is so far ahead of the competition, and now it will be affordable by even more customers. It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'. We strongly believe the $399 price will help us do just that this holiday season.

Second, being in technology for 30+ years I can attest to the fact that the technology road is bumpy. There is always change and improvement, and there is always someone who bought a product before a particular cutoff date and misses the new price or the new operating system or the new whatever. This is life in the technology lane. If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon. The good news is that if you buy products from companies that support them well, like Apple tries to do, you will receive years of useful and satisfying service from them even as newer models are introduced.

Third, even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price. Our early customers trusted us, and we must live up to that trust with our actions in moments like these.

Therefore, we have decided to offer every iPhone customer who purchased an iPhone from either Apple or AT&T, and who is not receiving a rebate or any other consideration, a $100 store credit towards the purchase of any product at an Apple Retail Store or the Apple Online Store. Details are still being worked out and will be posted on Apple's website next week. Stay tuned.

We want to do the right thing for our valued iPhone customers. We apologize for disappointing some of you, and we are doing our best to live up to your high expectations of Apple.

Steve Jobs
Apple CEO

[Apple]