In addition to a new iPhone model that works on AT&T's network, Apple is also reportedly prepping an iPhone that is compatible with Verizon's network.
The Wall Street Journal quoted unnamed sources in a story Monday who say one of Apple's contract manufacturers--the companies that build the hardware according to Apple's specifications--is working on an iPhone that runs on a CDMA network. That's the cellular network that Verizon uses in the U.S. The sources said the CDMA-compatible iPhones will go into mass production in September, though when Apple would sell it wasn't mentioned. Apple has traditionally released new iPhone hardware in late June or early July.
There have long been rumors that a Verizon iPhone was in the works, but Apple's exclusive contract with AT&T in the U.S. has appeared to be a roadblock. However, it's never been clear how long AT&T was granted exclusivity. Apple has added additional carriers in other countries but as recently as January has not sounded overwhelmingly positive about the possibility of doing so in the U.S.
The Journal story says that while Apple's traditional partner for building iPhones has been Taiwan's Hon Hai, a different manufacturer, Pegatron, has been assigned to build the Verizon-compatible model. Pegatron is also based in Taiwan and is a subsidiary of Asustek. Hon Hai is said to be working on the next-generation iPhone that will operate on AT&T in the U.S. and on GSM networks in other countries.