Sprint iPhone with unlimited data plan said near

Update 4:25 pm A second source now confirms Sprint will start selling Apple's iPhone in October. But the story is taking an intriguing turn with the possibility that customers will be able to select a flat usage fee.

Last month the Wall Street Journal reported that Sprint would start selling the new version of the Apple iPhone in mid-October. Now Bloomberg quotes sources who also say that Sprint has reached a deal with Apple to allow it to carry the iPhone starting next month and when it does, Sprint will offer an unlimited data usage plan. In contrast, both of Sprint's bigger national competitors, AT&T and Verizon, no longer extend all-you-can eat data plans to new iPhone customers. They can only choose among various tiered data plans.

No surprise to learn that neither Apple nor Sprint are commenting on the report. But the possibility of a flat fee plan for the iPhone coming out of Sprint wouldn't be a total shocker. As Bloomberg notes, Sprint, a distant third in the wireless race, has posted 15 consecutive losing quarters and setting itself up as the only US network provider to offer the iPhone with unlimited data service might be just the ticket to spark customer interest.

But as CNET's Roger Cheng notes here, there's reason to question how long Sprint would be able to maintain such an offer as the iPhone's relatively heavy data consumption can put added strain on a network. Indeed, both AT&T and Verizon Wireless were compelled to return to a tiered-pricing plan after getting Apple's device.

More fodder for the rumor mill: An internal memo obtained by the blog SprintFeed informs Sprint employees there will be a vacation blackout from September 30 through October 15 due to the "possibility" of a big event.