Thanks to the new touch panel technology, the next generation iPhone, dubbed iPhone 5, will be thinner than the current generation models, a Morgan Stanley analyst said on Friday.

The analyst, Katy Huberty, wrote in a note to clients, claiming that the iPhone 5 will be slimmer than its predecessors. Moreover, the new handset will sport a quad-mode chipset from Qualcomm, which enables the device to connect with 3G and 4G LTE networks.

Meanwhile, the analyst predicted that the demand of the next generation iPhone will exceeds the supply. What is clear about iPhone 5 is that Apple and its supply chain are positively surprised by the demand for iPhone 4S, which increases confidence in strong sales for iPhone 5 later this year, the analyst wrote.

The analyst also predicted that the highly anticipated iPhone will arrive in the third quarter of 2012.

Besides iPhone 5, Huberty also expects the next generation iPad, dubbed iPad 3, to be unveiled in the first half of 2012 with higher resolution display (possibly Retina Display). At that time, there might be a price cut for the current Apple tablet to attract more customers in the entry-level market.