Cult of Mac:
Just as expected, Apple has today added a cheaper 8GB model to its iPhone 5c lineup. The handset is available to order now from a number of European carriers, and via the U.K. Apple Online Store, where it can be purchased for £429 ($714) off-contract.
O2 U.K. was one of the first to add the new iPhone 5c to its online store, and its cheapest deal will see customers paying £50 ($83) up-front for a £28 ($47) contract over two years. If you want the handset for free, you’ll be paying £43 ($72) per month.
As others have commented on, 8GB is really not adviseable even with cloud-based services like iCloud, Dropbox, Goggle etc. The recent 7.1 update needed 1.9GB of free space just to run – let alone those iPhone owners who have 5GB of photos and videos stored in the camera roll.
Apple should be making the minimum storage space on all their devices at least 32GB, not going backwards. The possible solutions for why Apple are doing this is either because they selling the inventory off due to the reported iPhone 5C not selling as well as expected so you drop the costs of the handset by reducing the cost of the parts by lowering the storage or they simply are just wanting to target the first time iPhone buyers even more by lowering the cost a little more.