After defending smaller screen size on the basis of 'usability' over larger screens, Apple finally made the switch to 4.7” and 5.5” versions of the iPhone in October 2014. The upgrade came from Apple on the back of growing demand for larger screen sizes among users. However, Apple is again rumoured to be working on a 4-inch model of the iPhone. Display supplier AIO is rumoured to be supplying Apple with the smaller screen panels, and other components are being provided by suppliers from China and Korea.
The phone, rumoured to be named the ‘iPhone 6s Mini’, will serve as a replacement to the iPhone 5c. Specifications of the phone are rumoured to be similar to that of the 5s, but design cues will be taken from the 6 & 6 Plus.
While nothing has been leaked or stated by Apple, all news is based on supply chain rumours. Additionally, Apple is expected to be working on two more variants of the iPhone presently, and also a larger 12.9” iPad Pro with ultra-high resolution display and next-generation A9 processor.
Source: Apple Insider