My guess is that Apple isn’t planning on making something as extreme as the Xiaomi waterfall design (at least not at first), with a significant portion of the visible area at the outer edges of the display curving halfway down the sides of the phone, but maybe a design that’s closer to a combination of the current iPhones and Apple Watches, retaining the iPhone’s flat metal band around the perimeter so that the dimensions and locations of the iPhone’s buttons can be retained, while rounding downward the currently-sharp perimeter of the front glass edge so that it meets the metal perimeter band, maybe smoothly running into it, with no indentation/bevel/step/lip (take your pick) between them, as is done on the non-Ultra Apple Watch, while also eliminating what’s left of the black bezel that currently sits between the edges of the display and the metal perimeter band. But if so, I don’t see how current iPhone case designs would be able to prevent the phone from falling out of the front of the case, since there would be no lip for the case to overlap. But I’m sure Apple and case makers will come up with something.
That’s my guess anyway.
Edit: I tried to get DALL-E 3 to generate an image matching my description, but all it could draw was a smartphone with a black bezel, even though I told it not to, several times. When I asked it why, it said that since essentially all smartphones have a black bezel, that's all it could draw. But it still drew a bezel when I told it to just create a generic rectangular electronic device with a glass front. So much for that. Here's the closest it could get, but still with a black bezel across the bottom edge:
That’s my guess anyway.
Edit: I tried to get DALL-E 3 to generate an image matching my description, but all it could draw was a smartphone with a black bezel, even though I told it not to, several times. When I asked it why, it said that since essentially all smartphones have a black bezel, that's all it could draw. But it still drew a bezel when I told it to just create a generic rectangular electronic device with a glass front. So much for that. Here's the closest it could get, but still with a black bezel across the bottom edge:
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