Quote from http://www.macrumorslive.com/

11:46 am The iPhone 3G will be available July 11th in 22 countries. The maximum price around the world is $199 USD. Now showing an ad.
11:45 am $299 for the 16GB — a white version of this size will be available too.
11:45 am Now on to the final challenge — affordability. Started at $599 for an 8GB iPhone, now $399. The iPhone 3G 8GB will sell for… $199.