Apple's said to be exploring sending out over-the-air updates for iPhones, starting with the iOS 5 update in fall. Verizon is working closely with Apple, which as you probably know normally relies on updates over iTunes, suggesting that the Verizon iPhone will probably receive the iOS 5 update OTA before AT&T customers get in on the wireless action. [9to5Mac]
I'm not sure I believe this rumor from 9to5Mac. Apple has made updating mandatory through the computer for a purpose. One, they want a full back up for restore purposes in case something goes wrong with the update and two, the new thunderbolt port, rumored to be coming in future iOS devices will mean you can update and backup all in about 60 seconds, thus eliminating the long update times users experience today which would be the only reason I can think an OTA update would be considered.
9to5 is speculating a cloud based back up. Really? So my 16gb will be backed up through the cloud? How long will that take for people on slow connections?