JPMorgan analysts cross wires on future iPhones

Clients of JPMorgan Chase & Co could be excused for feeling dizzy in the last few days after reading the banking group's investment research on Apple Inc

Kevin Chang, an analyst covering telecom equipment for JPMorgan in Taiwan, issued a report on July 8 saying Apple may introduce a phone in the fourth quarter that is inspired by the design of its ultra-slim nano music players and is half as expensive as its $600 iPhone, launched on June 29.

But a day later, Bill Shope, a U.S. analyst who covers Apple for JPMorgan, followed with a note to clients that contradicted virtually everything his colleague had said and questioned the sources Chang used for his take on Apple product plans.

Rather than bring out a low-end version of the iPhone any time soon, Shope said, Apple would likely make its next phone a more sophisticated device with high-speed cellular Internet connections, a feature missing from the current iPhone.

Asked about the conflicting reports, Brian Marchiony, a U.S. spokesman for JPMorgan, said Shope "holds JPMorgan's official view of Apple's stock."

Chang declined comment

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