Rumors about a Verizon iPhone have been around for years, but there seems to be more evidence that this time, the rumors may be real:
Two New IPhones Coming; One May Be Aimed at Verizon - WSJ.com
Normally, I'd dismiss such rumors... Apple is very big on control and wouldn't want to change their hardware just to please Verizon (a company they do not like), but Apple is very concerned about Android's growth---primarily on Verizon's network. A Verizon iPhone would be like a nuclear attack on Google in their war against Android. It certainly would present the biggest challenge to Android, yet.
We shall see what will happen. Since the rumored iPhone would not be available until late fall, Android may develop a strong enough foothold not to be crushed, but it still will be difficult to overcome the public's love for the iPhone.