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Update: Yes, it was indeed launched and it’s called the iPhone 3G S but no video calling as yet.

There are rumors abound regarding the next release of the iPhone, every tech blog known to man is all over this like a fat kid on a smarty.

The iPhone 3.0 SDK has pretty much been proven to support video so a iPhone Video product seems to make sense. What kind of video? Recording full frame video is one thing but transporting that over 3G is quite another. My guess is it will not support real-time streaming or video calling on 3G, the question is will it deliver the goods on WiFi.

It will be interesting to see what happens at WWDC (running from the 8th to the 12th), the new iPhone is sure to launch at this event.

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