Confirmed: If You Bought a 1st Gen iPhone After May 27th, You get a 3G iPhone Free

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Do you plan on upgrading your now-obsolete iPhone on July 11th? Great-good for you big spender. Here's the skinny. AT&T informed us that anyone who bought an iPhone after May 27th will be able to swap out their handset with no additional charges for an iPhone 3G. What about everyone else? If you signed a 2-year contract with AT&T when the iPhone came out (which you pretty much had to), you'll have to sign another new 2-year contract to score a new iPhone 3G. The good news is that AT&T will allow you to overwrite your old contract with your new contract. In other words, you're just locked into another 2 years, not 3.