Play.com Selling Unlocked Apple iPhones From £550

Popular online retailer Play.com has started to sell the unlocked version of the Apple iPhone for £549.99 for the 8GB version and £599.99 for the 16GB model, both in black.

Some say that it is yet another sign that Apple is planning a mass stock clearance of remaining iPhones. It is actually the first time that new unlocked iPhones are offered legally and points to the looming release of a new iPhone 2009 model.

Play says that "This is a genuine Sim Free mobile phone and therefore unlocked to all UK networks. It is not unlocked from a UK or European network and is available due to EU legislation ensuring the sale of SIM free mobile phones. Comes with a full manufacturer warranty."

The move by Play.com comes a few days after O2 confirmed that it would essentially be cutting the entry price of the iPhone contract where you can get a free iPhone to £34.26 (instead of £44.05) per month.

The Jersey based company is not the first one in the UK selling unlocked Apple iPhones. Expansys sells unlocked refurbished iPhones 3G for as much as £635 - without warranty while Computer Exchange sells an unlocked 8GB version for £375 with the 16GB version going for £400.

As a reminder, the 8GB version of the iPhone costs a whopping £342.33 on Pay as you go.  You can follow ITProPortal.com on Twitter @itproportal.