Smaller Apple (AAPL) iPhone a Rumor Says Report

Rumors and speculation that Apple Inc. (NASDAQ:AAPL) has been working on a smaller iPhone is just that, according to a report in the New York Times, citing people familiar with the matter.

What Apple is reportedly doing looking into working on a less expensive version of its current iPhone.

"Apple is not currently developing a smaller iPhone, according to people briefed on Apple's plans who requested anonymity because the plans are confidential," said the report.

According to the sources, Apple isn't interested in a smaller version because it would make it harder to use.

Also noted was Apple would have to have apps for the device reworked, something that some developers may have hesitated to do.

Apple was trading at $354.85, down $3.45, or 0.96 percent, as of 11:43 AM EST.