Rumours on the launch of Apple’s iPhone 5 have been circulating for months, and have recently intensified following Apple’s Worldwide Developers Conference (WWDC). The venue for the launch of new iPhone in the past years, turned out to be entirely focused on software this time around.

The latest buzz in the market is that Apple will release the much-awaited iPhone 5 in the first week of September, and some tech Web sites have gone ahead to make the prediction that the device will arrive on Sept. 7.

Now, tech circles muse that the Cupertino-based giant will put off the launch of the refreshed iPod in September to allow for the iPhone 5's launch.

Tech Web site gadgetsandgizmos mused that the iPhone 5 could probably be already built and that it is undergoing rigorous final tests by Apple engineers and other experts. This also conforms to earlier predictions that Apple will soon start full-scale commercial production.

Others are speculating that the iPhone 5 will likely not be launched on Sept. 7.

The next generation Apple iPhone is rumored to come out in September of this year, and the recent launch of the White iPhone 4 lends credence to this point, says Brian White, an analyst for Ticonderoga Securities.

And it looks like it's a logical guess. First, there is no point in releasing the iPhone 5 without loading it with the iOS 5 as competition in the smartphone arena is really hotting up with several Android phones ready to roll out daunting features. A new iPhone version in September, which does not have commanding new features promised by iOS 5, will be a lame duck.

And iOS 5 is not ready to roll out until fall, according to Apple's own clear statement at the WWDC this month. Fall runs from the third week of September until the end of November. If Apple gets iOS 5 ready later in the fall, then the iPhone 5 will have to take the lag as well.

Another report says that Apple delayed the launch of its iPhone 5 to whet its smartphone offering in order to counter the threat from the new breed of Androids like Samsung Galaxy S2 and HTC Sensation.

However, it seems the delay has given its competitor Google sufficient time to prep its next version of Nexus phone- the Nexus 4G. Google's pure version of the Android phone will possibly be released around Thanksgiving.

BGR called the phone an absolute beast. If BGR's report is true, then the phone will arrive just after Apple releases the iPhone 5 in September at the iPod refresh event. Recent reports from some tech websites suggest September 7 as the probable date of the iPhone 5 launch.

The arrival of Nexus 4G does not bode well for Apple. Currently Apple is lagging behind the Android breed of superphones like Samsung Galaxy S 2, HTC Sensation and Motorola Atrix which arrived after the CES Las Vegas event. Apple's current iPhone 4 looks anemic in terms of specifications when compared to these superphones. Thus, Apple has delayed the launch of iPhone 5 as the phone is in need of significant hardware changes in order to compete with these phones.

Jefferies in a note to clients said that component manufacturers have begun to receive orders for Apple Inc.'s iPhone 4S and the production ramp is expected to start in July for an iPhone 4S launch in September/October 2011,.

Our checks and guidance from Catcher Technologies indicate component orders beginning for the iPhone 4S. We could see an upside surprise to September iPhone orders. We believe iPhone units will reaccelerate due to: new lower-cost iPhone, iPhone 4S in the Fall followed by iPhone 5 in June 2012, and more carriers, said Peter Misek, an analyst at Jefferies.

Misek believes the likelihood of the iPhone 5 launch in September including LTE is now remote. According to his industry checks, the device should be called iPhone 4S and include minor cosmetic changes, better cameras, A5 dual-core processor, and HSPA+ support. He believes Apple had hoped for the LTE chipsets to be ready for the September launch as a best-case scenario but was planning a version without LTE called the iPhone 4S.

Scott Sutherland, an analyst at Wedbush Securities, believes the iPhone 5 will have a materially upgraded user interface and will be tied to a major cloud initiative supported by data centers in North Carolina and California. He believes Apple's cloud strategy will be very important and will take the fight onto Google's turf. He expects increased CDMA distribution, seasonality, and the White iPhone to drive more typical seasonal growth, with an iPhone 5 pop in fiscal second quarter of 2012 (March 2012).