What started out as a seriously enthusiastic and positive article has been thrown to the electronic waste bin after having discovered O2′s plans for the iPhone 3G S announced this evening.

Users having contacted O2 Upgrades service have reported that rather than simply upgrading one’s old iPhone for the new one, paying the price of the handset and taking out a new 18 month contract as for the 3G, users wishing to upgrade from the 3G to the 3G S will instead have to pay off the remaining 6 months of their 18 month contract in addition to paying the price for the new handset.

6 months remaining contract: £34.26 x 6 = £205.56
New iPhone 3G S  16GB Price =  £184.98
32GB Price = £274.23

Those of you who currently own an iPhone wishing to purchase the new one will therefore have to furnish consideration to the tune of either £390.54 or £479.79. I think not O2.

If this is indeed true I feel a torrent of angry iPhone 3G owners heading for their local O2 stores. If there is anything to brighten this now somewhat clouded iPhone announcement, current 3G owners will be able to download OS 3.0 on 17 June. For those of you wondering no Video, vastly improved camera, much faster processor or digital compass for turn-by-turn navigation are capable of incorporation into a software update I’m afraid. Sucks to be a not-so-early adopter… again.