Apple to release iPhone Nano for Christmas?

Apple kicked off rumours of an iPhone nano a year ago in a United States Patent Application.

Despite Apple selling out of the devices in various US states on a daily basis and the recent release of the 2.0.1 firmware, to update a few performance issues, the rumour of a new iPhone Nano has ignited once again this week.

The Daily Mail in the UK has sparked rumours of a possible iPhone Nano in time for this years Christmas season. Citing industry sources the paper claims the product will be launched in the UK at up to £150 for pay-as-you-go customers by O2. This would go some way to explaining why the iPhone hasn't been released on PAYG yet and why industry experts predict it will arrive on PAYG by Christmas.

According to the paper one expert suggested the nano phone would have a touch wheel on the back and display on the front so that numbers would be dialed from behind. This backs up the images in the Apple patent but what does Neowin think, a cheap iPhone Nano for Christmas or a load of hot air?

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