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FM Radio coming to the iPhone?

Rumours are active on technology websites that an iPhone radio app is being developed in-house by Apple for use on the iPhone and iPod touch.

Such a development would mean have a major impact on the radio industry, putting an analogue radio set in the hands of millions of iPhone owners.

9to5mac.com reports the app would be able to run in the background, similar to the current iPod mode.

They say the holdup is that Apple is trying to integrate the Mobile iTunes Store purchases into the functionality, and suggest the app is likely to have the same Live Pause functionality that the Nanos currently enjoy.

Apple's iPods and iPhones have been able to receive FM radio signals for some time now, but the function has been inactive. The latest generation of iPhone and iPod touch can even broadcast FM signals similar to a personal FM transmitter for use in cars.

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