According to a recent New York Times article Apple will not release an iPhone Nano, however Apple are well-known for being extremely secretive about their product releases, therefore don’t rule out an iPhone Nano just yet.

Below we have embedded the concept iPhone Nano images, according to SlashGear this device is called the iPhone 4K and the K stands for its slide-out QWERTY keyboard, also it will feature a 3.2-inch retina display (800 x 400 resolution), an 800MHz processor and a 5 megapixel camera, which would be a great if the price retailed for the rumored $200 contract-free price, this would undoubtedly compete with a lot of mid-end Android smartphones.

Obviously as this is just a concept we mustn’t take it too seriously, however how would you feel if this year’s iPhone release looked like the image above and featured the specs aforementioned?

If you think that you are a bit of a whizz with Photoshop feel free to email me your iPhone 5 / iPhone Nano concept images along with your own spec listing, if it is up to standard I will post an article featuring your concept.

What do you want to see Apple release this summer?

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Ars Technica has been looking more closely at the WSJ article from Sunday, and if the iPhone Nano does exist then it could take advantage of a new MobileMe service. This part of the article does make sense, as this would be the perfect way to help save room and in turn reduce the size of the Apple handset.

The idea of moving over to cloud storage is not a new one, but we believe that this is something that will happen – but not now. We just don’t believe that Apple is there yet with the technology, as last time we knew they were still building the new facility that will house all the cloud servers.

Flash storage over cloud is a subject that has been discussed time and time again, as like everything there are pros and cons. Having no flash in any iOS device could help to reduce costs, but you could end up paying more in the long run – this depends on how much you would use the service.

However, the biggest issue that we can see has to do with how these devices will gain access to cloud. The likes of the iPhone and iPad would need to use AT&T or Verizon; would the networks be fast enough and would they be able to cope with yet more traffic?

Only time will tell if the iPad Nano does exist or not, but if it does we do not believe that it will use cloud storage, maybe in another year maybe.

What storage do you think the Apple iPhone Mini will use, Flash or Cloud?

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I am sorry for the analogy, but it seemed fitting. Over the years the rumors of the smaller iPhone were made by questionable sources, but you cannot say that about Bloomberg, and other news organizations such as Wall Street Journal who has added their weight to the rumors as well. If that were not enough, some of the biggest blogs has also said that there is a good chance of the so-called iPhone Nano

Los Angeles Times acknowledges that some of these rumors differ, with some saying that the new device will be just half the size of the iPhone 4. We added to this by reporting that the handset could cost just $199, and you will not even have to sign a two-year contract, so will not be subsidized. However, TechCrunch believes that the new smaller iPhone will but just one-third the size as the current model.

One of the most interesting rumors has to do with the storage of the device, well the lack of it. It seems that Cult of Mac has learned from a source that it will not have much in the way of storage capacity; instead relying on Cloud. This does sound like something that could happen, but Apple is not anyway near ready with their Cloud Storage System – we would have heard something by now. As well as the fact that it would really need to be a 4G iPhone Nano to fully take advantage of Cloud for accessing your content online.

So there you have it, a number of conflicting rumors, but we cannot help but think that Apple will launch the iPhone Nano this year – how else will they increase overall mobile OS market share?

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The details have surfaced from a fresh report by the Wall Street Journal, who have cited one of their sources who has apparently seen the rumored device for himself, up close and personal.

According to this source, the device will be around half the size of the iPhone 4 and that it will be ‘significantly’ lighter than the iPhone 4 as well. Furthermore, the WSJ reports that the iPhone Nano will feature a ‘edge to edge’ touchscreen display and one of the confirmed features so far is voice-based navigation.

We’ve all read about previous rumors on a smaller iPhone in the past, but things really seem to be picking up speed now. Would you welcome the idea of a smaller iPhone device? We’re not sure how Apple will accomodate web browsing on such a small device though, we’ll have to wait and see what they come up with later this Summer.

We’re more interested in seeing what the iPhone 5 will look like, but Apple will probably have their way and blow everyone away with this miniature device as well. If it has some extra features that it’s bigger brother doesnt, that could be one incentive to interest shoppers. Let us know your thoughts on a possible iPhone ‘Nano’.

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Currently Apple has a fair share of the high-end market with the iPhone 4, however in terms of mid-low-end devices they offer nothing, let’s face it a lot of consumers do not want to spend $199 – $299 on a smartphone which is tied to a two-year contact, therefore a cheaper iPhone release may be the way forward.

Our earlier post suggested that the rumored smaller iPhone may cost just $200, we are now hearing that this could potentially be a contract-free price, obviously the hardware within this smartphone will not be anywhere as near as advanced as the iPhone 4, however not everyone wants an “all singing, all dancing” handset.

Last year there was a huge barrage of Android smartphones released which helped Android achieve its massive growth (32.9% of Q4 2010′s market according to Bloomberg), therefore it wouldn’t be a huge shock if Apple released a low-priced basic iPhone to combat this in 2011, the question is will it be too little too late?

To many a $200 contract-free price tag sounds a bit far-fetched, however let’s not forget that Apple bring in income through the App Store, therefore they could potentially release a cut-down iPhone at almost cost price to combat Android and then reap the benefits as consumers buy apps and games.

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