As Liz Gannes reports, iPhone mania persists in NYC, with folks lining up at 3AM clutching fistfuls of twenties to buy iPhones five at a time — for export to Europe. This despite the fact that Apple has been throwing cold water on the whole iPhone unlocking marketplace by warning people that a future firmware update could render liberated iPhones to shiny plastic/alloy bricks.

But why? When you’re looking for answers, as they say, follow the money. The NYTimes (now mercifully free for you to read) reports on their blog that Apple, with their recent price cut, is effectively taking a loss on each iPhone and making it up on the fees paid to them via the Wireless Carriers. Well, duh. This should be no surprise to folks (more…)