Not to be outdone by its bigger rivals, Virgin Mobile and Cricket, Locus Telecommunication's H2O brand is now selling iPhones.
Not the same iPhones however, Virgin and Cricket's are brand new iPhone 4 and 4S models, H2O's are refurbished 8GB iPhone 3GS'.
The 3GS was introduced in 2009 and is still in production. Compared with the 4 and 4S it has a slower processor, less RAM, a lower resolution, non-Retina display, a 3.5 MP rear camera (vs a 5 MP rear and VGA front camera). But it's still an iPhone and a desirable device to many people.
With Cricket and Virgin's iPhones starting at $399.99 and $549.99, respectively, the best part about H2O's iPhone is the price, $199 (plus $5 shipping). And that price includes a SIM and a month's service on H20's $50/month unlimited voice, messaging and 500 MB of data plan.
Provided they are quality refurbs, H2O's price is quite good. A refurbished 8GB iPhone 3GS from Amazon is about the same price and doesn't include the month's service or H2O SIM. Brand new from the Apple Store, a 3GS (8GB) will set you back $375. However, Apple and Amazon's iPhones are unlocked and, as far as I can tell, H2O's isn't.
iPhones are rather difficult to configure so that data and especially MMS picture messaging works on AT&T MVNOs. The H2O deal is an especially good one if the phones are already configured for data and MMS on H20.