Wal-Mart Stores, Inc, is now selling Apple's iPhone 5C and 5S at a deeply discounted "permanent price change" at its stores across the U.S.

Shoppers can now buy a 16GB iPhone 5C with a two-year contract at US$29. The iPhone 5C, which is known for its plastic-exterior, comes in five colors and used to sell for US$49.

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The same model at the Apple Store retails at US$99 with a two-year contract.

An iPhone 5S at Walmart now costs US$99 compared to the previous US$149. Shoppers, however, must sign up a two-year contract for the iPhone 5C or the iPhone 5S with Sprint, Verizon or AT&T. The iPhone 5S starts at $199 in Apple Stores.

It's unclear if Walmart will also drop the prices of iPhone 5S models with more memory such as the 64 GB model and the 32 GB model.

The too-good-to-be-true deal is only available in Walmart stores and not online. A Walmart spokesperson said this is a "permanent price change."

"We're just providing our customers with the technology that they're looking for," said the company spokesperson to ABC News.

Tech experts said the low prices are normal for this slow time of the year for iPhone sales. They noted that Apple has to get rid of as much of its old models as it can since the introduction of the new iPhone 6 is practically around the corner.

"Walmart's decision is a tactical one to clear inventory or drive traffic," said Brian Colello of investment research firm Morningstar, Inc.

He said the price cut at one store doesn't necessarily mean a sharp drop in demand for iPhones.

Last April, Apple said it sold over 43.7 million iPhones in its second quarter, down from the 51 million iPhones sold during its first quarter that included the holiday season. Apple sold 37.4 million iPhones in its second quarter.

TagsWalmart, iPhone 5S, Apple Smartphones