Next-generation iPhones likely to focus on internal improvements.
Toshiba Doubling 1.8-inch HDD Production
Toshiba plans to expand into 1" hard drives in the future. 1" form factor drives are already being produced by Hitachi at this time.
The 1.8" Toshiba hard drive has been used in the Apple iPod throughout its existence and at least some of the additional production is expected to supply demand for the popular iPod.