IERI (Yesterday) Tim Cook did not deny the possible release of an iPhone with a screen larger than 4 inches, and the American analysts speculate his hesitation, stating that this product could be launched in June next year. An analyst from Jeffries claims that the problems in producing enough screens for iPhone 6 and the implementation of other substantial changes would be the basis of the postponement of the launch of the device. The terminal would have a chip built using a 20nm manufacturing process, it could have 4 or 8 cores, it could have a 4.8 inch IGZO screen, and in the end it remains an improved iOS for hardware and still able to compete with the android.
We see three possible bottlenecks for the iPhone that could contribute to lower yields (and hence higher costs) and/or a delayed launch.
- App processor production at 20nm. Apple's current iPhone app processor is on 32nm. For the iPhone 6 we think Apple will likely skip over 28nm and go to 20nm to facilitate adding more cores (4 or even 8). While TSMC is targeting a 2014 ramp in its 20nm production we think that issues like double patterning could make it a more complicated transition than the 28nm ramp, which had its own substantial ramp and yield issues.
- Display shifting from in-cell LCD to on-cell OLED or IGZO. We think in-cell is having difficulty ramping to 4.8", which is making Apple look at switching to on-cell (a different integrated touchscreen technology) and OLED (despite Apple's suppliers being well behind Samsung in their OLED capabilities) or IGZO.
- Revamped OS. We think Apple plans to re-architect iOS to utilize more cores and better compete with Samsung. Also, we believe the way iOS interoperates with iCloud, gesture controls, and advertising will be substantially upgraded.
Separated from iPhone 6, iPhone 5S it would be released in June of this year and so far most rumors have indicated this date as safe. Considering Tim Cook's hesitation in denying the possible existence of iPhone 6 with such a large screen, I think it is clear enough that Apple is at least testing such a device, and if the user experience is good, it will end up in - an end in the hands of the users.
