The new iPhone will feature a 4.6-inch retina display and will launch sometime in the second quarter of this year, according to a South Korean media outlet.
The Maeil Business Newspaper, the source that received the information, reported that Apple has decided to go with a bigger 4.6-inch display for the next generation iPhone and has already began placing orders to its suppliers.
Both LG and Samsung, who normally make the screens for Apple's mobile devices such as the iPad and iPhone, declined to comment on the news.
Samsung normally uses OLED displays in its Galaxy devices such as the Tab, S2 and Nexus. The high-definition Retina displays made for the iPad contain several times as many pixels within the same area.
The new iPad launched earlier this month and Apple has already sold around 3 million units of the device. It is the most successful iPad launch to date.
The iPhone 4S that was released last October went on to be the world's best selling smartphone. Apple was expected to unveil the iPhone 5 last year that was rumored to feature a larger display. However, the company ended up releasing the 4S that features the exact same design of the iPhone 4.
The new iPhone is also rumored to be 4G LTE. The new iPad was the first device to be released by Apple that runs on 4G LTE networks. It is available on both Verizon and AT&T in the U.S., who have both built up their LTE networks in recent years.
Other carriers such as Sprint and T-Mobile will have to play catch up if they plan on carrying the new iPhone when it is released later on this year.
The new iPhone is also expected to included a more updated and advanced version of the voice assistant system known as Siri.