iPhone 5s iPhone 5c

If you are planning on purchasing a new iPhone, you will be happy to hear that Walmart is discounting the 16 GB iPhone 5s to $99 (down from $149) and 16 GB iPhone 5c to $29 (down from $49) when activated on a two-year service agreement. The new prices are effective tomorrow, making this one of the better iPhone deals available in-store in the United States… 

Walmart previously held a sales promotion that brought the two iPhone models down to similar prices before, but this time the move will be permanent. According to Engadget, the deal should be available from 9 AM local time at Walmart locations across the United States. The deal will not be available online, although there is a better deal on the web anyways.

As we reported last night, wholesale chain Costco has began reselling iPhones and iPads for up to 70% off through its online store. The retailer is selling the 16 GB iPhone 5s for just $77.99 with a new two-year contract through AT&T, Verizon or Sprint, which is $21 cheaper than Walmart. The deal is only available online, however, whereas Walmart is selling handsets in stores.

Whether you purchase your iPhone through Walmart or Costco, the savings are still significant compared to Apple. The 16 GB iPhone 5s retails for $199 through the Apple Store, while the cheaper iPhone 5c is $99 for the baseline model. Walmart could be looking to start clearing inventory ahead of the oft-rumored iPhone 6, which is expected to launch in three months.

Walmart is also discounting 32 GB models, but pricing remains unknown.

Will you take advantage of this deal?