A source over at Wired.com claims that a new generation of iPods is being developed in China. These next-gen iPod Touch units will have built-in cameras and microphones, which is said to be part of a new kind of mobile communication: connecting your iPod to a WiFi and a Skype application, and you have yourself a device that is close to iPhone using Verizon or Sprint network. Other noted features, according to the rumor, include voice command recognition, image capture and video recording, and compatibility with a wide array of applications.
On the flip side, however, enabling voice-over-IP capabilities on iPod Touch may eliminate the need of having a cell phone, or at least have your "very own iPhone" without the exorbitant AT&T contract.
Representatives over at Apple have yet to comment on the issue.
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