Feb 18, 2011 10:14 GMT  ·  By

A smaller iPhone won’t do, people briefed on Apple’s plans are telling The New York Times, adding that Cupertino is instead focused on rolling out the next-generation iPhone 5, as well as a totally revamped MobileMe, which will be available for free to Apple customers.

Widely publicized reports this month have alleged that Apple was preparing to introduce a smaller version of the iPhone to reach more customers with its revolutionary iOS interface, yet people with knowledge of the matter say there are no such plans in Cupertino.

The New York Times reports that, contrary to published reports, Apple is not developing a smaller iPhone.

People briefed on Apple’s plans who requested anonymity say that the company’s engineers are currently focused on finishing the next version of the iPhone.

The new handset is likely to be similar in size to the current iPhone 4, one of the people said.

The same person stressed that Apple was in no way focused on introducing a smaller iPhone in the nearby future.

Another such source added that it wouldn’t even make sense to develop a smaller iPhone at this time, one of the reasons being production costs.

According to this person, a smaller device would not necessarily be much cheaper to manufacture. Apple also doesn’t want to force devs to rewrite their apps for a smaller screen.

Also on the table for an unveiling this year is an advanced ‘voice command’ feature that Apple plans to implement in its iOS devices, another source said, as well as cheaper internal components.

Yet another person with knowledge of Apple’s plans added that the company is also focused on delivering an enhanced MobileMe.

In its current form, the $99-a-year service is not enjoying much popularity.

This upgraded version of the cloud-based service would allow users to store music, photos and files online and have them accessible on all their devices, the New York Times report reveals, echoing a Cultofmac report claiming to have obtained the same information earlier this week.

The new version of MobileMe is also expected to be free.