[Xylakant]

The 3GS is apples low end model, that doesn't mean it is low end compared to other models on the market. An 8GB 3GS sells for ~ 370 Euros. That price may be a bargain for that model, but I can buy Samsung phones much much cheaper.

Edit: Response to the parents edit: Yes, your view is US-based. If I buy a phone and get a phone contract without subsidy, my contract is cheaper - up to 10 euros/month. I'd be surprised if that's much different in the US - you always pay for the subsidy in one way or another.

[hammersend]

Any phone with a 480x320 screen and free on contract (at least in the US) is low end. The iPhone 4 would be midrange and the 4S would be high but not the highest end.

[Xylakant]

The 3GS is not free on contract in Germany. Fact is that there are cheaper phones and that may be of importance in markets where the average wage is lower than in the us. And since the article is about world-wide number of devices shipped, that makes a diffence.