Well it looks like the iPhone that was discovered by Engadget some days ago was a real prototype of iPhone 4G. Somehow Gizmodo got hold of that iPhone 4G prototype and they just confirmed that this device is the real deal. Although Apple may change the final packaging of the device but still the internals of the device would probably be same as the this prototype.
Jason Chen from Gizmodo had a deep look at this device. He also checked the internals of the device which have Apple’s signs in them which shows that this device is not a fake. Apart from this it has also been reported that :
Apple-connected John Gruber—from Daring Fireball—says that Apple has indeed lost a prototype iPhone and they want it back.
So, this proves that this is the real iPhone 4G prototype. Other interesting things are that the person who found the phone said that phone had OS 4.0 in it and when OS 4.0 was announced they remotely killed the phone to make it unusable. The device could not be restored because each firmware is device specific and there are no publicly available firmware versions for Apple’s next-generation iPhone.
In terms of looks, there are some big changes in the device , but overall new features are :
• Front-facing video chat camera
• Improved regular back-camera (the lens is quite noticeably larger than the iPhone 3GS)
• Camera flash
• Micro-SIM instead of standard SIM (like the iPad)
• Improved display. It’s unclear if it’s the 960×640 display thrown around before—it certainly looks like it, with the “Connect to iTunes” screen displaying much higher resolution than on a 3GS.
• What looks to be a secondary mic for noise cancellation, at the top, next to the headphone jack
• Split buttons for volume
• Power, mute, and volume buttons are all metallic
And the changes from the previous versions of iPhone are:
• The back is entirely flat, made of either glass (more likely) or ceramic or shiny plastic in order for the cell signal to poke through. Tapping on the back makes a more hollow and higher pitched sound compared to tapping on the glass on the front/screen, but that could just be the orientation of components inside making for a different sound
• An aluminum border going completely around the outside
• Slightly smaller screen than the 3GS (but seemingly higher resolution)
• Everything is more squared off
• 3 grams heavier
• 16% Larger battery
• Internals components are shrunken, miniaturized and reduced to make room for the larger battery.