Reports are suggesting that the price cut for the iPhone has proven popular with cash-conscious consumers with the device selling out in certain locations.

The iPhone's price was cut by O2 and Carphone Warehouse last week by £100, meaning the 8GB version of the phone was available for £169.

A Mobile Today report states that O2 stores in Newcastle, Birmingham and London had sold out of the reduced handset and could only offer the £329 16GB version to shoppers.

An employee in Carphone Warehouse's flagship store on Oxford Street told Mobile Today that said sales had doubled from 30 to 60 a day, while another staff member said: "It was like launch day again".

Whether the price cut was to clear stock for the 3G model, or to boost ailing sales, it seems, at least initially, it's been a success.

We got in touch with O2 and Carphone Warehouse for official comment on how the sales were going.

Carphone Warehouse said they are not able to release any sales figures until trading results are released to the City but led us to believe they are "pleased" with iPhone sales.

An O2 spokesperson said: "We can't give any specific sales figures for devices but all I can say is that we're very happy with the customer response to the special offer which is certainly meeting our objectives of sustaining momentum for the iPhone and expanding its reach in the market".