What if...
I think this must be a fake but the shot looks surprisingly real - The Screen measures exactly 4".
This isn't rumor, or even speculation about the iPhone 5. It's just a "what if" scenario:
There has been a lot of infighting about whether going to a 16:9 4" screen is a good move, or if Apple should stay with the current 3.5" display.
People opposed to a larger screen say that it will make the iPhone taller, and that current iPhone apps won't look good stretched out.
But what if both of these drawbacks were overcome with a 4" display. What if an iPhone with a 4.x" display was just as wide and just as tall (or even shorter) as the iPhone 4/4S, and current apps looked great on it, but so did 16:9 video and future apps designed for a 16:9 display?
Imagine an iPhone 5 (it will probably be called just "iPhone" like was done with the naming of the new "iPad") with a tapered, rounded aluminum back similar to the iPad. And imagine that instead of having dead space on the front above and below the display, the 4.x" display covered the entire face of the iPhone, except for narrow gaps between the display glass and the aluminum edge at the top and bottom, for the speaker and microphone.
How would a full front screen work? What about the Home button?
The home button, and the upper and lower dead areas (when current apps are running) will be generated on the display when required. There is really no need for a physical Home button taking up space.
When old 4:3 iPhone apps are running the Home button and dead areas appear on the screen. When newer 16:9 iPhone apps come out, or watching 16:9 video, they will take up the entire display.
But when newer 16:9 iPhone apps are in use, there is no Home button on screen, how would you get back to the home screen?
Simple. A new gesture will always take you back to the home screen. Even the onscreen Home button is really unnecessary.
This configuration would be great, as it solves all of the problems that people have mentioned, and it would be a beautiful and unique looking iPhone.
