As far as we're concerned, the new year can't come too quickly. Not only does it mean some time off, but it also puts us closer to Macworld, where hopefully all the iPhone speculation will be put to rest. After months of gossip and a gallery of iPhone "photos" ranging from the silly to the just plain ugly, we're getting the tiniest bit sick of it all. Unfortunately, the Steve Jobs love-fest is at the same time as CES, but if we see something substantial next month, we'll be ecstatic. Of course there's always the possibility that this is an elaborate hoax by the Cupertino Star Chamber, but we doubt it.
In any case, the latest tidbit comes from a Morgan Stanley analyst by way of Gizmodo. Rebecca Runkie predicts the iPhone will cost $599 for the 4GB model and a wallet-breaking $649 for the 8GB version (no word on carriers). She also claims it will be between the iPod Nano and the 5G iPod in size, will have a nice 3.5-inch display and will come in multicolored aluminum shells like the Nano. That's might pricey, but we won't believe anything until Jobs says it (while dressed in a black turtleneck, of course).
The latest phone shows a flip-phone form factor with an iPod Click Wheel. If it happens, it should do well, but for a different take, check out this column by News.com's Michael Kanellos.