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Is a cheaper, smaller iPhone in the works?

Rumour has it that Apple Inc. is planning on introducing a cheaper, smaller version of the iPhone later this year. The rumour gained momentum last Thursday when it was made public that Apple Inc. filed a patent application last November describing "a multifunctional handheld device with a circular touch pad displaying illuminated symbols that could change depending on the mode in use," which Apple enthusiasts are interpreting as an "iPhone Nano."

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