It's Target's turn to sell the iPhone 3GS for $49.

The company previously sold the iPhone 3GS for $99. The phone is available in 846 stores, Target said.

Target's reduced pricing follows AT&T's decision last week to drop the price of the smartphone to $49. Apple is also selling the device at the discounted rate. To take advantage of the discounted pricing, consumers need to sign up for a new two-year agreement with AT&T or be eligible for an upgrade.

The cheaper iPhone 3GS likely won't be the only news coming out of Apple's iPhone camp this week. Tomorrow, Verizon is holding a press event in New York City where it just might unveil an iPhone that runs on its network.