T-Mobile is going to sell Apple's new iPhone for as little as 1 euro in Germany.

This deal is for the 8GB version together with a 69 euro monthly contract, it said on Monday.

T-Mobile will sell the smaller capacity 3G iPhone for between 1 and 169.95 euros, depending on the data plan.

The 16GB version will start at 19.95 euros with an all-inclusive data plan costing 89 euros per month, going up to 249.95 euros for a minimal 29 euros-per-month contract.

Italy is the only country so far to get details of a pay-as-you go contract.

While in the UK, the 8GB model will cost £99 on a new £30 per month O2 tariff and the existing £35 per month tariff.

Consumers choosing either the £45 or £75 per month tariffs will get the 8GB iPhone 3G for free.

The 16GB iPhone 3G will cost £159 on the £30 and £35 tariffs, £59 on the £45 tariff and it will be free on the £75 tariff.

Pay & Go pricing will be announced for the UK in the coming weeks so keep watching this space.