A new report is rejuvenating chatter of cheaper iPhone service plans from AT&T that could be announced alongside the introduction of new models in the coming months, such as a $10 drop in the cost of the most basic service plan.

Cote Collaborative analyst and pricing strategist Michael Cote said this week there’s a “strong possibility” the exclusive US iPhone carrier will drop its entry-level iPhone plan to $59 from $69, adding that the announcement could come as early as next month at Apple’s annual developer conference.

The move, which would theoretically shave 14% off the cost of owning an iPhone — dropping combined 2-year service fees to $1,640 from approximately $1,880 — would represent a concerted effort on the part of both Apple and AT&T to push the iPhone into the hands of consumers who find the pair’s current offerings too pricey for their shrinking budgets.

In particular, Cote noted that sales of the touch-screen handset have thus far proven disappointing at Wal-Mart, the largest big-box retailer in the U.S. catering to a less than affluent demographic. Wal-mart has proven critical to Apple’s iPod business and is believed to move considerable volume for the company.

A good decision for the iPhone’s future, we think.