9to5Mac reports interesting information on the forthcoming iPod touch and iPhone 5. First, Apple would be testing a new prototype of CPU that should end up into the next generation iPhone. It would currently be installed in iPhone 4/4S enclosures in order to reduce the risk in case one of the testers loses his iPhone. Based on current knowledge, it would be an evolution of the current A5X found in the new iPad. This would be rather surprising as it might appear as too much CPU power for an iPhone, except if Apple plans to make the iPhone a true portable game station for supporting HD and 3D games.
For the iPod Touch, despite a rather deceiving updates, Apple does not plan to discontinue the device and might consider a serious upgrade for the next version, potentially power by an A5 CPU.