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iPhone Rumors Heat Up: iPhone 5 In September, Cheaper iPhone 4 Coming? (VIDEO)

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Two new iPhones will be coming in September: One, a less expensive version of the iPhone 4, the other, the iPhone 5, with a bigger touchscreen and a better rear-facing camera.

This is according to the latest Apple rumor, this time from the venerable Reuters, sourced from "two people with knowledge of the matter."

The meat of the rumor concerns the low-cost iPhone 4, the existence of which 9to5mac previously reported in July. Though Reuters' sources did not give a price point, they did note that the phone will come with an 8GB flash drive "manufactured by a Korean company."

Buried in the article is another rumor that the updated iPhone 4--either the iPhone 5 or the iPhone 4S, with the larger screen and the 8 megapixel rear-facing camera--will be released by the end of September. This contradicts the latest Apple intel from All Things Digital, which emphatically believes the newest iPhones won't be arriving until October, and tech blog Boy Genius Report, which gave the iPhone 5 a specific release date: October 5th.

Elsewhere in the Apple rumors world, TechCrunch talked to a source who said that the newest iPhone will be a so-called "world phone" supporting both CDMA and GSM networks (international travelers know how important this is) and leaked pictures out of MacRumors that show the purported iPhone 5 battery, which looks a whole lot like the iPhone 4 battery and has led to speculation that the battery life is going to essentially be the same.

Though Google's Android OS is the most widely used mobile platform in America, the top two cell phones are the iPhone 4 and the iPhone 3GS, according to a recent report by the NPD Group. For our weekly coverage of the latest in all things Apple, from iPhone release rumors to wacky patent applications, check out our series, This Week In Apple Rumors.

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