Smartphones are trending towards larger screens, with Samsung, HTC, and Nokia phones leading the charge. This is certainly due to consumer demand. But while users want bigger screens, they aren't exactly begging for bigger phones. So why are all the phones getting so big? Because manufacturer's must pack in extra large batteries to accommodate the premature LTE chips they are using. These early chips are inefficient with power, larger in size, and even required a second chip to transmit voice calls. Apple waited until now to add LTE, becuase the first chip to eliminate these problems, Qualcomm's MDM9615, is just now ready.
Due to a number of leaks, we already know that Apple's iPhone 5 will follow the trend of larger screens. We also know its dimensions. The screen will add 0.5" diagonally to reach a total of 4", while the dimensions will be the same in the width, but 8.6 mm taller, and 1.7 mm thinner. Here it is visually:
The iPhone 5 will add the larger screen that consumers are demanding and also LTE that they demand, but without the additional bulk. In fact, the volume of the device will decrease 14%. This is possible largely thanks to the new generation of LTE chips, but also an innovative case design, In-Cell screen technology, and other internal improvements.
Yet another reminder that Apple's goal is to make the phone that is best, not first.