Apple planning iPhone and iPod touch price cuts?

9to5Mac has received word that Apple is planning on dropping the prices on the iPhone and iPod line within the next month or two - perhaps at the rumoured late February event. The price cut is said to be $100 on both the iPod touch and iPhone lines - and the 8GB iPod touch will apparently be dropped from the line-up just as the 4GB version of the iPhone was before it. If true, this means that the 16GB iPhone will be $399 - the current price for the 8GB version and the 32GB iPod touch will come in at $399 too. Following the same cost cut pattern, considering the difference in pricing, this means the UK could expect to see the 32GB iPod touch and 16GB iPhone both at £269. 9to5Mac predicts the price drops are in order to make way for "pricing space" for the 3G iPhone, expected this year.