What you end up getting is much better than the iPhone 3G, even just because you can run the latest Open GL ES 2.0 titles like Infinity Blade. But you miss on the high-res display of the iPhone 4 and FaceTime. You will also get a 3-megapixel camera instead of the 5-megapixel snapper of Apple's finest. The list of the iPhone 4's new features is long so take a look at our side-by-side comparison of the handsets here.
The rumor sounds as sweet as honey or as the latest RadioShack $150-dollar iPhone 4 deal, and if you are still looking for a present, you might just happen to have found it. Check out if the deal is real tomorrow as it is not confirmed yet and don't forget to share your joy in the comments if you get your iPhone 3GS for free.