Apple is has let word slip that a newer iPhone will soon be released, operating on high speed 3G network. The new iPhone is expected to be launched in the second quarter, estimates putting the official release at the end of May or early June. Bank of America analysts predict that Apple will produce over 8 million iPhones in the third quarter alone, anticipating a surge in demand for Apple’s hot seller.

After Bank of America analyst Scott Craig released a research report, predicting the production numbers of the new iPhone, Apple shares jumped $3.95 to $144.20, an increase of over 2.8 percent. AT&T, Apple’s exclusive iPhone service provider for the U.S, rose by 1 percent, finishing off at $38.03. If these predictions are correct, and the production numbers haven’t been exaggerated, the newest iPhone should hit the

market in the upcoming months. AT&T has been saying that a 3G version of the iPhone will be available in 2008, though it has failed to release an concrete release date. Similarly, Apple has declined to comment on the report, and whether the production numbers are accurate.

Scott Craig expects that his initial production number may be inaccurate, and he now predicts that Apple’s total production numbers will be over 11 million units, with 3 million initially produced, followed by an additional 8 million. Experts predict that the new, high speed iPhone should become available in June, coinciding with the predicted release of an iPhone software update.

Representatives from Apple said that the company expects to sell 10 million iPhones by the end of 2008, having already sold over 4 million units since the release of the device last year.