Do you think Apple is 'arrogant' enough to release a 3.5" new iPhone this year?

[DodgeV83]

Can't see why they can't offer choices like they do with 11"/13" Airs, or 13/15/17" Macbook Pros.

Then everybody wins?

Nope. Everybody loses. Fragmentation would be a much bigger problem in your scenario. Everyone will be paying the Fragmentation Tax, so a portion of the users can have a bigger phone that's difficult to use with one hand. I already hear complaints from developers that they have to develop for two iPhone resolutions at one aspect ratio and two iPad resolutions at another aspect ratio...and thats with pixel doubling which makes things much easier than they otherwise would be.

Mobile operating systems don't work like desktop operating systems, where everything is scaled, even if it means making the content physically bigger or smaller on your screen. Touch screen interfaces are written for a specific size.

When I first told PC users of the new iPad's resolution, the first thing they said was, "That sounds nice, but on a screen that size , 2048x1536 will make everything TINY!".

That's not how it works.

 

[mrbutters]

Depends on what I am doing. I have no problem using my left fingers as a cradle and then interacting with my thumb. I'm a guy and have decent sized fingers, but they are far from large. I also hold it with my left hand at times and use my right index finger to interact with it. I hold it differently if I am texting or typing very much. I guess it just depends on what I do with it, but it's not hard to use at all.

This is what I do with my Razr as well. I have average sized hands and finger and I am still able to work with the phone one handed. Its size is right about my personal sweet spot. The larger Galaxy Nexus is a tad too big to use one handed IMO.

 

[ThatsMeRight]

While neither of us will know till its released do you really think the 7.85" tablet will have the same 163 ppi as the 3GS?

That puts it on par with its competition a year ago they were using on full size tablets. Current competition is better then that TODAY let alone when Apple releases a smaller tablet.

Just doesn't seem very "Apple" to produce a product that is sub par by yesterday's technology when it comes to screen quality.

Yes, I do.