iPhone rumours boost Apple share price

Stephen Withers
Wednesday, 11 July 2007 02:08

Your IT - Mobility

Reports that Apple may be developing a smaller, cheaper and simpler iPhone - the iPhone nano - drove the company's share price to a new record high during trading on Tuesday. The price peaked at $US134.50 before settling back to close at $US132.35, up $US2.02 for the day. Over 44 million shares were traded.

The excitement appeared to be driven by JP Morgan alalyst Kevin Chang's suggestion that the so-called iPhone nano could arrive before the end of the year.

This speculation was based on a recently-revealed Apple patent application for a user interface that could be exploited in a hybrid phone/music player equipped with a thumbwheel, plus information from unnamed people in Apple's supply chain asserting that Taiwanese company Catcher Technology will supply the metal casing for the new device.

While it seems unlikely that Apple would continue to sell just one iPhone model if it turns out to be an ongoing success, a relatively simple product line has been a characteristic of the company since Steve Jobs returned to the helm.