Rumors have been persistent for the last two years that Apple will manufacture a CDMA-based iPhone for Verizon. Apple’s Steve Jobs has denied that Apple was interested as CDMA, the technology behind Verizon Wireless’ network, has been outdated for years and GSM was the only way to go. In addition, Apple has an exclusive agreement with AT&T — though it expires this year.

However, deep-seated dissatisfaction with AT&T’s network as well as Verizon Wireless huge subscriber base continue to taunt Apple. I continue to hear of significant problems in high-density areas such as New York City and San Francisco. And having these problems in its own backyard has to be a bit of an embarrassment for Apple.

New rumors surfacing yesterday point back to this as a possibility, but add no real new information. Yet, the stock market goes nuts over the information. What’s that phrase. “buy on the rumor and sell on the news”?  Well, there may be a possibility. Verizon is taking longer than expected to move to its 4G network and tens of millions of potential users creates a pretty big incentive for Apple.

On the other hand, its not just CDMA that is the issue. Verizon also used a different technology for its data network, called EVDO. This also requires Apple to rework how the device connects to the data network. All things considered, I don’t see Apple spending its time and resources to put a device on Verizon when it will have a limited lifetime for its research and product development investment. And, in all, the GSM versions are selling very well.

There is, however, this new device appearing any day now, the Apple iPad. It wouldn’t be that difficult for Apple to replace the current 3G HSPDA chip with one that uses EVDO and allow it to connect to the Verizon network. After all, there is no exclusive with ATT over the iPad.

I have to weigh in, throw my chips on a number as it were, and I have to say that my opinion is that Verizon WIreless will not get an iPhone at this time. As they continue upgrading their network and moving to the next evolution of wireless technology, called LTE, I do think there will be a time Apple blesses them with their device, but it will be on the next generation of Verizon Wireless. We’ll see over the next few months how this will play out. Buckle your seat belts for  wild ride on the rumor coaster.