Early next year Apple is expected to introduce a sub-$600 Macintosh along with its own brand of iPod speakers.
The computer, which is reportedly code-named Q88, is currently under production in Asia by manufacturing contractor HonHai, otherwise known as Foxconn. HonHai currently produces Apple's Power Mac and AirPort Express products.
While sources did not provide specific clock-speeds, the new iMac will reportedly boast a low-end G4 processor, 256MB of RAM, one FireWire 400 port, two USB 2.0 ports, 10/100Base-T Ethernet, DVI and VGA with dongle, a 56K modem, and a low end graphics card. The computer will reportedly draw power through an external power brick, similar to those that ship with Apple laptops.
According to sources, the headless iMac was to include a built in iPod dock, though sources say this feature was scrapped and may reappear in future versions of the headless iMac.
Along with the new iMac, reliable sources say the company will also debut its own brand of powered iPod speakers.
Both announcements are expected to take place during the annual Macworld Expo Conference that kicks-off during the second week of January.