The 4GB iPhone was discontinued way back in September 2007 due to a lack of consumer interest, but according to Engadget’s trusted sources, the 4GB iPhone may not be dead after all.

Apparently new iPhones in 4GB, 8GB, 16GB, and 32GB capacities have been approved by the PCS Type Review Certificiation Board, which is a body responsible for certificating handsets for use with a select group of mobile carriers, including AT&T.

Engadget theorizes that Apple wouldn’t put their new high-end hardware together with such low storage capacities, so they assume that the lower capacity devices will be stripped down versions of the iPhone, which would effectively allow the company to sell sub-$100 devices.

This rumor would also fall in line with a few other rumors that have indicated Apple wants to enter the low-cost smartphone market along with introducing multiple, distinctly different iPhones.

So, the question is: Would you buy a stripped down 4GB next-gen iPhone?