Originally Posted by mytdave
There will be an iPhone 5, we just don't know the form factor or configuration. There will also subsequently be an iPhone 6, 7, 8 and so forth, about every 18 months.
The previous iPod nano had a 2" screen and video was fine (albeit tiny). It was great for the youngest kids on road/plane trips - on a device that was cheap enough I didn't care if they broke it.
I really hope they make a new nano with a video camera. I use my two video nanos all the time for video, and the resolution is fine when played on a retina touch. It's just a strange shape. A square nano would make a great pocket or wearable camera. Somebody has to do it, and Apple usually does it right.
Edit: Back on topic, there are uses for screens and cameras of many sizes. The 7" platform is perfect for personal glasses-free 3D (easy to maintain the sweet spot), and for side-by-side stereo with a two-lensed viewer -- the purest form of 3D. To paraphase Mao, let a thousand platforms bloom, as long as we can iCloud them seamlessly back and forth. Whether Apple sees a market is another matter.