Robin Hoods Playground

For the first time I've ever seen a non-ebay iphone 3g for sale (unlocked), buy.com is selling what appear to be factory unlocked 3g's for $799. They say it's never been locked and can accept future software updates.

Crazy expensive

no-way
apple will go nuts
if it was a att or apple thing it would be all over the news.

I agree,I can't see any other explanation tho. I think some countries are by law requried to sell phones unlocked, so maybe these come from overseas. That would explain the intact warranty backed by apple if I'm reading it correct.
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From Buy.com-

The Never Locked iPhone!!

Apple iPhones have typically been locked to only use on the AT&T network, so they are not capable of being used on other GSM carriers such as T-Mobile or for overseas travel.
Hackers were able to break the software to use the iPhone on carriers other than AT&T, but any connection to iTunes or any software updates provided by Apple lock the iPhone and render it useless.

Now the iPhone is available without any locks or restrictions to any GSM carrier.

Also, the Apple guarantee is valid for all never-locked iPhones.

You are now able to:

Connect the iPhone to iTunes
Update the iPhone software when the updates are available from Apple
Purchase apps from the iTunes library or the Apps store on the iPhone
Use AT&T or T-Mobile in the USA Or one of the 30 different GSM carriers all over the US.
Use with any GSM carriers globally Introducing iPhone 3G. With fast 3G wireless technology, GPS mapping, support for enterprise features like Microsoft Exchange, and the new App Store, iPhone 3G puts even more features at your fingertips. And like the original iPhone, it combines three products in one a revolutionary phone, a widescreen iPod, and a breakthrough Internet device with rich HTML email and a desktop-class web browser. iPhone 3G. It redefines what a mobile phone can do again.