The report references supplier TPK Holding, the panel supplier for current Watch panels and suggests Apple is switching things up on the screen front, moving from a glass panel to a glass film touch solution.
It also mentions that TPK Holding encountered issues dealing with the curved surface of the Apple Watch, which complicated the manufacturing process of the touch sensors. Those new panels will start shipping in late 2017, which fits with the most recent Apple Watch Series 3 release date rumours that point to a autumn/fall 2017 arrival.
Quite what that means for the next-gen Watch, we're not so sure. It's fair to say that along with Samsung's Gear S3 and Google's array of Android Wear watches, Apple managed to produce one of the best smartwatch screens out there. The Series 2's screen was also its brightest, cranking up the brightness to 1,000 nits, that's 450 nits more than the first Watch.
Apple Watch Series 3 rumours so far...
Unsurprisingly, details of what we can expect are light on the ground. Apple doesn't make a habit of leaking key specs or features, so it usually leaks out from the companies that are tasked with building the wearable.
Back in January this year, Digitimes was at it again suggesting that the Series 3 would land in the third quarter of 2017. It wrote: "The wearable device will be manufactured by Quanta Computer and feature better performance and longer battery life, according to a Chinese-language Economic Daily News (EDN) report citing market watchers.
"Currently, improving battery efficiency is Quanta's main task for the new Apple Watch and its other hardware will not see much change, the paper added."
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We also have the wonderful world of patents to look for clues as well with a recent Apple filing suggesting that the Cupertino company's next wearable could get significantly more svelte. Now, we know Apple likes to make its tech slimmer than the previous generation so there's no surprises there, but the filing appears to show us that it could be achieved by moving the haptic motor to the wristband of the Apple Watch to make the body less portly.
There's also been talk of smartbands and battery bands to further fuel speculation of what we can expect.
The expert view
So what about those in the industry? They usually have a better idea than most about the kind of tech chat that's flying around about new devices. We recently spoke to Joe Santana, CEO of Vector Watch, the smartwatch startup that's just been snapped up by Fitbit with the wearable tech heavyweight set to give us the first Fitbit smartwatch in 2017. Santana appears to support reports that we could be looking at a new display for the Series 3:
"I think when Apple comes with the new product it will be a huge improvement over the current Apple Watch. I hear the new display is coming out – I don't hear anything about batteries, but the screen is the major improvement. I think the next Apple product will be a success. Some people say the current one is a success, others say it didn't match expectations, but Apple is not going to drop this."
So for now, it sound like the Watch screen could be a major talking point when or if Apple unveils the Watch Series 2 later this year.
What would you like to see from the new Apple Watch? Let us know in the comments below.