Mac Rumors is reporting on the resurfacing of iPhone nano rumours by the largely unreliable iDealsChina website. iDealsChina has published a rendering based on a case of what it claims to the iPhone nano.

Mac Rumors rightly points out that an iPhone with a smaller display would render current iPhone apps unusable on the new device.

Presumably if Apple was preparing to introduce an iPhone nano it would be at Macworld 2009 which takes place in just four weeks time.