The one-day-only sale will occur on Friday, Dec. 10 at the company's U.S. retail stores, according to Boy Genius Report. The deal applies to the sole iPhone 3GS model Apple sells, with an 8GB capacity.
"This offer is valid to both new lines, additional lines, and also qualified upgrades," the report said. "We have been told that all stores have inventory levels to support the promotion, and it's an instant rebate type deal."
As is standard, the promotion will require a new two-year contract in order to receive the subsidized and promotional price. There has not been any indication that Best Buy will also discount the newer iPhone 4.
Apple's iPhone is typically not discounted beyond the subsidized rates offered through AT&T and Apple directly. But the alleged Best Buy promotion marks the second time in less than a week that the iPhone has been uncharacteristically discounted.
On Saturday, AppleInsider revealed that Radio Shack was offering $50 off all current iPhone models, including the iPhone 4 and iPhone 3GS, in a one-week sale. The retailer also upped the value of its trade-in program, offering a $125 credit for trading in a working iPhone 3GS.
Combined with the $50 instant savings, Radio Shack's deal offers customers who trade in an iPhone 3GS a new 16GB iPhone 4 for just $25, or a 32GB iPhone 4 for $125, before taxes and standard activation fees.