"We've been raising our prices over the past few weeks," said Chen, to the Business Week website, who runs NextWorth.com, a Web site that buys and resells used iPhones and iPods. "It's an anomaly but there's still a lot of demand for the first-generation [device]."
The reason for the high prices is that many iPhone users do not want to be tied to a long term, high priced, contract. The first generation of the Apple iPhone can be unlocked pretty easily making it possible for users to move to another contract supplier, utilising a more attractive tariff.
Click to read the Business Week story