Right, huge and ugly.
Seriously? I have perfect vision, never needed glasses my entire life and I have to squint while reading text from a normal length. I don't want to hold my phone up to my face every time I wish to read something!
4 inches is the sweet spot for most people I'd say. For me I'd prefer 4.3 inches as that is what it the most usable to me I feel.
Steve Jobs worked on the iPhone 5. It was reported to be the last product that he really focused on. I wouldn't be surprised if they bring out the 4 inch screen, as it is something that has really been long awaited.
Try not to be so ignorant and say it's too big. 3.5 inches is just tiny for today's standards. Not to mention you loose out on a lot of other internals. I wouldn't be surprised to see the A6 chip actually because of new internals in the phone.