Apple is said to be testing a prototype iPhone loaded with 1GB of RAM. According to 9to5Mac, Apple currently is using the prototype internally cloaked in a shell designed to look like an iPhone 4 or iPhone 4S to prevent leaks about the new design.
One gigabyte of RAM is on par with most current smartphones, and is the same amount of RAM the new iPad is equipped with.
The prototype also is rumored to house a variation of the A5X chip found in the latest iPad. In fact, it's said that the purpose of the prototype is to test the processor in a handset. As 9to5Mac points out, the A5X is designed for graphics. It helps power the Retina display, which is four times the resolution of the previous iPad models and requires the extra processing power to properly handle the high-fidelity graphics.
Also said to be in the works is a new iPod Touch. The device didn't get anything other than a color update in 2011, but it's reported that the portable media player might see a revision as well. This rumor comes from an internal document referencing a device called iPod 5.1. The current model is internally labeled as iPod 4.1. The jump from 4 to 5 indicates a significant upgrade to the device rather than just a simple palette swap.
According to 9to5Mac, Apple intends to keep developing the iPod Touch because the App Store and iOS as a gaming platform have seen tremendous growth in recent years. The graphics processing of the A5X chip would likely be a good match for such a popular gaming device.
The new devices are expected to arrive some time this year, but no date has been officially set. In 2011, Apple broke its usual trend of introducing a new iPhone mid-summer and a new iPod line in the fall by making both their iPod and iPhone announcements on October 4.