Report: Apple May Bring 'iPhone Lite' To Verizon

According to BusinessWeek, Apple has created prototypes of two devices similar to the iPhone that would be distributed through Verizon. One of the devices is being described as "iPhone lite." The second mobile device is reportedly a media pad that would allow users to listen to music, watch videos and place phone calls over Wi-Fi connections.

Lowell McAdams, CEO of Verizon Wireless, has spoken with Apple and Steve Jobs, according to the BusinessWeek report. Lowell reportedly declined to comment on what those talks were about, but it is being speculated that those conversations focused around these two new devices.

It also came to light this week that the two companies may be working together to adapt the iPhone to Verizon's network, adding fuel to the fire.

During Apple's quarterly earnings call, which took place on April 22, Tim Cook, COO of Apple, said that the relationship his company has with the exclusive service provider for the mobile device is good.

"We're very happy with the relationship that we have and do not have a plan to change it," Cook said.

Still, Verizon Wireless customers are likely to be encouraged by these reports, even if they are still unconfirmed. For Apple, the move makes sense, allowing the company to plug into a fresh customer base that--with the exception of customers who've switched providers--is largely untapped. Those customers, some of whom would likely switch devices given the opportunity, represent new hardware sales and additional service contract revenue.

AT&T has been the exclusive provider for the iPhone since its inception in 2007.