Verizon Wireless (NYSE: VZ) has cut prices on many of its older smartphones to $99 with a two-year contract, following Apple’s bold move to make the iPhone 3G model a cool $99 earlier this year.

Handsets like the HTC TouchPro will drop to $99 from $419, according to Boy Genius, but the sale does not apply two new handsets—the BlackBerry Tour and Samsung Saga. At $99, the phones are more closely priced to feature phones offered by Samsung and LG (SEO: 066570). The sale is also likely an indication that new handsets are coming. Sure enough, we are expecting Verizon to roll out a line-up of new phones, including the Touch Pro2 and the BlackBerry Storm 2.

Last week, Verizon Wireless said nearly 40 percent of all of its handsets sales today are smartphones. Lower prices will likely only make that trend continue.