AT&T possibly planning to offer iPhones without a contract

The Boy Genius Report has received a copy of what appears to be an internal presentation from AT&T, suggesting that the carrier has plans to begin offering the Apple iPhone 3G for sale without a contract.

According to this leaked presentation, the iPhone 3G will be available for purchase without requiring a new contract, but only for existing AT&T customers. Pricing will supposedly be set at $599 for the 8GB iPhone 3G and $699 for the 16GB iPhone 3G, if the customer decides not to activate a new contract. The documents suggest this new pricing could be in effect on March 26. Apparently, though, an activation fee will still be charged whenever the device is activated on AT&T's network.