Walt Mossberg, Uncle Walt to me, is the top tech journalist without a doubt. When he says something in his Wall Street Journal column people pay attention. Contrast that with the fact that when I say something on TUAW I am often mocked until I cry.
Now, Walt's most recent column is all about how Apple's model of controlling the device from end to end is the way to go. Not too newsworthy, in and of itself, however, that's not the bit that has the Mac web all aflutter. Here's the juicy bit, 'Now, Apple is working on other projects built on the same end-to-end model as the iPod: a media-playing cellphone and a home-media hub.'
OMG! WALT JUST SPILLED THE BEANS! iPHONE! iPHONE!
Everyone just calm down. Take a deep breath. Ok, good. Now, I don't know if Walt has some inside information (he probably does), but I can assure you that it doesn't take insider knowledge to figure out that Apple is working on an iPhone and a media hub. The real question is: will it ever be released? Apple works on all kinds of nifty gear in their R&D labs, many of which never see the light of day.
With all that said, wouldn't an Apple cellphone be pretty cool?