We should perhaps treat these reports of "exploding" iPhones with a degree of caution, because we've heard it all before. This, from 2009, concerning "exploding" iPhone 3GS's:
Quote:
A number of iPhones that reportedly "exploded" in France were not due to the battery overheating as had been suggested, Apple has said.
The firm said that all of the handsets they had seen with broken screens were caused by an "external force".
Watchdogs had launched investigations after reports of iPhones that had exploded or cracked spontaneously.
...
Consumers in the UK, Holland and Sweden had reported similar problems.
"To date, there are no confirmed battery overheating incidents for iPhone 3GS and the number of reports we are investigating is in the single digits," Apple said in a statement.
"The iPhones with broken glass that we have analysed to date show that in all cases the glass cracked due to an external force that was applied to the iPhone."
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Full article:
http://news.bbc.co.uk/1/hi/technology/8227028.stm
Of course, that's not to say that the battery isn't the culprit in this latest case, but it may perhaps be as well not to pre-judge the matter.