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The Street writes that 'sources' have revealed that Apple will introduce a 3G iPhone during the first quarter of 2008. If accurate, this would make a Macworld San Francisco (January 2008) announcement possible.

The current iPhone runs on 2.5G EDGE technology, and Apple wants to bring 3G Phones to market quickly in order to persuade hold-outs to move to iPhone. The revamped iPhone is also expected to support GPS and Broadcom is thought to be in talks with Apple to supply the GPS chips.

TriQuint are thought to be supplying new power amplifiers for the next-generation iPhone.

The Street also claims that CEO Jobs' recent 33% price cut on the iPhone has helped boost demand, with Apple's iPhone production targets now reportedly increased.