SAN FRANCISCO - Apple on Wednesday cut the price of the top iPhone by $200, discontinued the low-end model and unveiled a new version of its popular iPod media player with wireless Internet access and other iPhone features.
The 8-gigabyte iPhone will sell for $399, and the 4-gigabyte model, which had sold for $399, will be phased out.
The new iPods with Wi-Fi — but without cell phone capabilities — will start at $299.
“We want to put the iPhone in a lot of stockings this holiday season,” CEO Steve Jobs said at a media event near downtown San Francisco.
Jobs also unveiled the iPod Touch, which allows users to download songs wirelessly and, eventually, at all Starbucks in the United States that offer Wi-Fi Internet.
The iPod Touch can store photos, music, videos and other digital data. It features the same touch-screen display as the iPhone, on which light finger touches allow the user to scroll through menus and resize pictures with two fingers.
An 8-gigabyte version of iPod Touch will cost $299. A 16-gigabyte version will cost $399. They will be shipped starting later this month.
Starting in October, the Starbucks icon will light up on the iPod Touch whenever a user nears a Starbucks coffee shop that has Wi-Fi access.
Users can then download the song that’s playing overhead or get a list of the 10 most recent songs played.
The Starbucks partnership — which executives at both companies have been working on for two years — begins at 600 stores in New York and Seattle on Oct. 2.
By the end of next year it will be in all Starbucks with Wi-Fi nationwide.
Jobs also unveiled other new versions of the company’s market-leading iPod, including an iPod Nano with a 2 1/2-inch video monitor for watching movies and playing built-in games. The current version has a 2-inch screen but does not play videos.
“It’s incredibly tiny. It’s incredibly thin,” Jobs said of the new Nano, which features a 320-by-240-pixel screen with 24 hours of audio playback. “We think it’s really, really beautiful.”
The new Nano, which will be in stores starting this weekend, will come in a 4-gigabyte version for $149, and an 8-gigabyte version for $199.