Give it to the founder of Digg. He hangs in the right circles, especially the Apple circles. In his Diggnation podcast he confirmed the new Iphone and some of it’s details

from Engadget
Extremely small form factor
Two battery design (with single charger) — one for playing music, the other for phone functions
Flash memory: 4GB for $249, 8GB for $449
“Slide-out keyboard”
Possibly touchscreen
Likely launch with a ‘singular GSM carrier’ with CDMA and other GSM to follow

I am guessing it will also have bluetooth headphones with a microphone built in.

The two batteries is awesome. How they’ll keep it small and have two I have no idea. Watch Apple stock move even higher. $100 here we come. I am guessing it will also have bluetooth headphones with a microphone built in.