iPhone nano soon?

J.P. Morgan analyst Kevin Chang believes that Apple is coming out with a second, much cheaper iPhone based on the current nano design. The new phone should be available in the 4th quarter of this year in time for the Christmas shopping season.

Referring to a patent filed by Apple, Chang believes the new device will have limited functionality and be competitively priced at less than half of today's iPhone. Chang concluded by saying that Apple could potentially sell about 40 million units of this "iPhone nano" in 2008, severely damaging the Motorola RAZR market.

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