The Wall Street Journal has reported that Apple is working on a new, smaller iPhone. Codenamed N97 (ha, ha), it is supposed to be half the size of the current iPhone. According to the WSJ, citing a person who has seen the prototype, the device was 'significantly lighter than the iPhone 4 and had an edge-to-edge screen that could be manipulated by touch".
Apple is also considering making MobileMe free and the focus of a cloud-based iTunes music service.
See the WSJ for the full story.
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