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Apple to persevere with existing iPhone

Refreshed iPhone to coexist with 3G model

Apple plans to announce a refreshed version of its existing iPhone at today's Worldwide Developers' Conference - in addition to a new thinner model supporting 3G, according to American Technology Research Shaw Wu.

Wu said the new 3G iPhone could feature an improved virtual keyboard as well as GPS services and gave an indication of the possible price of the new handset.

"We anticipate pricing for 3G hardware similar to current price points and 2.5G versions to see a $50-$100 discount. Signs indicate Apple has become more focused on driving volume, raising the possibility of carrier subsidies," Wu said.

The analyst also observes that Apple could launch a new touchscreen product that's a hybrid between a Mac and iPod touch. These 4in and 7in devices are believed to be beyond prototype stage. "We see a 50 percent chance these are announced at WWDC," the analyst said.

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WWDC: 3G iPhone launch expected today

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