Apple to Release Faster iPhone

Apple plans to introduce a suped-up iPhone this September, one outfitted with the faster A5 processor found in iPad 2s, sources tell Bloomberg. The phone will also come with an 8-megapixel camera instead of the 5-megapixel model found in the iPhone 4. Cosmetically, however, the device will closely resemble the iPhone 4. The update was actually pushed back a bit, the sources said, so it would coincide with the launch of iOS 5.

Apple is also working on a cheaper version of the iPhone to sell in developing countries, and a new iPad that will have a higher-resolution and more responsive touchscreen. (More iPhone 5 stories.)