iPhone Nano rumors started to resurface this week, based on photos from a manufacturer and supposed insider reports that Apple is working up a device for Verizon’s CDMA network.

The rumored device would sport a hybrid UMTS/CDMA radio, making it compatible with pretty much any network. The screen is down from 3.5 inches to 2.8, which seems way too small to me. Granted, there’s always zooming to get to hard to read text, but there’s really nothing worse than scrolling a page around while you’re trying to read.

Speculation points to a 2010 release, which would make sense considering the massive Android rollout that has been taking place. As Android makes it onto more devices, particularly cheaper ones, Apple’s going to want a way to get those entry-level smartphone owners. A smaller iPhone might not get those folks, but a cheaper one definitely would.