According to Ming-Chi Kuo, an analyst with KGI Securities has released a research report which claims that Apple may come out with a 4-inch iPhone early next year. He also said that this iPhone may resemble iPhone 5S.
The new iPhone is predicted to be powered with A9 processor, will have NFC to support Apple Pay, and might be packed in metal casing. The metal casing, if this rumor is true, would be a welcome change post plastic-y iPhone 5C. Ming-Chi also mentioned that new iPhone will have 8MP rear camera and front camera will be a 1.2MP only.
Ming-Chi had earlier forecasted that iPhone 6S may not be able to outperform iPhone 6 on an annual sales basis. And given the current slowed orders may prove this estimate correct. “He has a decent reputation of predicting Apple“.