A Faster Processor

If theres anything that the iPhone 5 will come with, its a faster processor. Right now, the iPhone 4 is being trumped by competitors that feature dual-core processors. The iPhone 5 will likely come with the same processor as that in the iPad 2, making it one of the faster options on store shelves when it launches.

At this point, theres little debating that Apples next iPhone will come with a bigger display. The iPhone 4s top competitors have 4.3-inch screens, easily overshadowing the 3.5-inch option on Apples handset. With the iPhone 5, Apple will likely deliver a larger display (if not the edge-to-edge option thats made its way through the rumor mill) to help its handset compete more effectively against devices from HTC, Motorola and others.

When Apple unveiled iOS 5 at the Worldwide Developers Conference in June, the company said that it would be making its way to the iPhone 4 later this year. However, theres a good chance that the platform will also be made available on the iPhone 5 when that device launches this fall. An iPhone 5 with iOS 4 simply makes no sense.

Looking ahead, near-field communication seems to be a hot issue in the mobile marketplace. Google earlier this year unveiled a new Wallet service that will allow users to pay for products from their handsets. The company promises integration on more Android devices going forward. Although that market is still in its infancy, Apple would be smart to deliver a payment service of its own now before Googles gets too far ahead. And Steve Jobs knows that.

Digital media is becoming more important by the day. Thanks to improved broadband adoption, video content is becoming more important. Considering how important digital media has always been to Apple, expect the iPhone 5 to come with more storage. A 64GB version seems like a safe bet, but a 128GB option is also possible.

One of the complaints most consumers have with the iPhone 4 is that when its held in a death grip, it loses some signal quality. With the iPhone 5, expect Apple to fix that problem. Apple has always been a company that likes to address issues quickly. That shouldnt be any different this time around.

When mobile games were first made available in Apples App Store, they were somewhat simple. But over time, as the iPhone has improved, developers have pushed the envelope with the quality of their games. Now, games have become integral to the iPhone experience. In the iPhone 5, look for Apple to capitalize on that with improved graphical components that will help developers take their titles to a new level.

It might not have anything to do with the iPhones features, but expect Apples next handset to be priced at $199 and $299 with two-year agreements. Its a strategy that Apple has used in the past. Rather than charge more for its devices, it has charged the same price to make people see more value in them. The result has been strong sales.

Apples iPhone 4 has been criticized for its built-in rear-facing camera. Critics say that since its only 5 megapixels and the lens isnt so great, better options can be found elsewhere. Apple, a company that loves to offer the best of everything, will undoubtedly address that in the iPhone 5. Expect the companys next device to come with a vastly improved camera.

This might be the long shot of this group, but 4G connectivity is possibly going to make its way to the iPhone 5. Looking around the market, there are several devices that are now shipping with 4G because their makers realize that the future is in the ultra-high-speed option.