I have an eight GB iPhone 3G, but when on iTunes on my Mac, it says my phone only has 6.9 GB of space total. I just want to know why this is, and if I am able to get a new phone because of malfunction.

I have an eight (8) GB iPhone 3G, but when on iTunes on my Mac, it says my phone only has 6.9 GB of space total. I just want to know why this is, and if I am able to get a new phone because of malfunction.  Thanks!

You don't have a malfunction.  Read this:  How Mac OS X and iOS report storage capacity, http://support.apple.com/kb/TS2419

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