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Mike, I would put my money on 3G technology, and a higher quality built-in camera. Video chat.... maybe.
GPS they are already working on with Google/Skyhook Wireless... Although I suppose it's not truly 'GPS', but a 'soft GPS' system. I would highly doubt Apple would cut the cords here. Look for developments in this system in the coming year.
Video chat would be amazing, and I can bet you that will come into the picture sooner or later. Perhaps not on the next generation, but in generations to come, I'd look for it.
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