Apple iPhone Nano rumors are back again

Market analysts are now claiming again that Apple is planning to launch a new edition of their iPhone before the end of the year.

This would not be the third generation iPhone but an entirely new model for the mass market.

This could be named the iPhone nano after their iPod model iPod nano.

Sources say that Apple is developing such a phone for launch through exclusive UK carrier O2 as a pay-as-you-go product.

This device would offer reduced functionality for people who do not essentially need Edge or 3G based connectivity.

Another report claims that Apple iPod Touch can get an update soon with a bigger 64 GB flash drive.