Today’s second big iPhone 5 rumor deals with the device specs, instead of the still-debated release date.

In reality, one of the new “rumors” regarding the upcoming device is a strike against a previous rumor about the size of the screen in comparison to the iPhone 4. Previous reports hinted that the new iPhone could sport a significantly larger screen, possibly 4.2 inches. That would be an enormous upgrade from the 3.5 inch screen that adorns the iPhone 4.

But DigiTimes is quoting an “upstream panel supplier” in squashing that rumor, saying that the new screen will most likely remain 3.5 inches or possibly expand slightly to 3.7 inches.

Apple might be employing a trick, however, that would make the iPhone 5 seem like it has a larger screen. The sources say that the new design will “allow the bezel of the panel to become thinner and make the screen look larger.”

This report corroborates an earlier AppleInsider report that puts the new screen size at “slightly larger” than 3.5 inches.

Other, non-refuted rumors about the iPhone 5 give the device an 8-megapixel camera, HD video capabilities, an A5 dual-core processor and a super-thin frame. It’s still possible that the iPhone 5 might not be a huge leap forward, but simply serve as an updated iPhone 4.

DigiTimes’ sources also said that the iPhone 5 will have a metal chassis instead of reinforced glass.

The other iPhone 5 rumor that dropped today involved Sprint. An internal memo leaked that shows how Sprint management is handling the release rumors. Basically, mums the word – they are instructing Sprint store employees to adopt a strict “no comment” policy when customers ask about the iPhone 5 release date rumors. The most widely accepted estimation is that it will arrive sometime in early to mid October.