64 GB iPhone 4 Prototype Spotted in the Wild [UPDATE]

While iPad buyers have been given the option to purchase iPads sporting 64 GB of storage for almost a year, Apple never offered the 64 GB option to iPhone users, as even the latest iPhone only comes in two flavors, 16 GB and 32GB. However, Apple allegedly considered the possibility to release a 64 GB iPhone 4 for a while, as prototypes sporting 64 GB of flash memory have been spotted in Hong Kong. The news comes from the folks over at M.I.C. Gadget, who managed to obtain pictures of the prototypes. According to the seller, these never-before-seen versions of the iPhone 4 are engineering prototypes, directly obtained from Apple’s supply chain and/or labs. The phones appear to be fully functional, and run an older version of iOS, iOS 4.1 build 8B117. Interestingly enough, the serial numbers of the phones are quite unusual, which seems to indicate that the devices are indeed prototypes. The devices can be purchased at the Sin Tak electronics market, one of the largest markets for gray items in Hong Kong, and only a handful are available for sale. On a side note, Apple never really explained why it never released a 64 GB iPhone 4, unlike the iPad. One of the main reasons could be related to the fact that the 64 GB iPad sales figures quickly proved to be lackluster. Update: Here is a new video of the device:

[Picture credit: unwire.hk – picture cropped to fit]