You know those industrial wizards who always seem to know what Apple's planning to build? The ones with an ear to Foxconn, and an eye to the next big launch? They're getting hit with the SEC hammer for insider trading.
The WSJ reports the widening of an SEC probe into what are called "channel checks"—connections between financial analysts and the companies that supply parts for Apple's gadgets. If a Wall Street analyst is able to dig up information about, say, a new screen that may or may not be headed for Apple's next iPad, that information could make some people a lot of money—imagine buying Apple stock right before the hype builds. Unfortunately, that kind of move is also massively illegal, and if the SEC can pin the motive to manipulate stocks on the people doing these channel checks, they're in serious much.
But this crackdown could also throw a wrench in the ever-churning Apple rumor mill, as plenty of the rumor that slowly trickles into the realm of news begins with some sliver of detail out of China. Who's letting these details go? Sometimes it's some anonymous guy on the factory floor who walks out with a piece of an upcoming iPhone. But sometimes it's the word of a well informed analyst, so well informed because he's getting his dirt from that same guy in the factory. If these people start getting fined—or hell, going to prison—the road to the iPhone 6 might not be littered with clues like the last time around. [WSJ via AppleInsider]