Apple is planning 3 new iPhone models this year

The current iPhone lineup.Justin Sullivan/Getty Images

Apple is expected to release three new iPhone models in September.
One of them will use a lower-cost LCD screen part to keep the price down, according to a Friday report in the Wall Street Journal.
Electronics manufacturers say Apple expects the lower-cost LCD model to be the most popular.

Apple will release a new iPhone lineup this fall with three new models, according to a Friday report from the Wall Street Journal.

Two of the phones will be built around screens using OLED technology, the same type of display that's currently in the iPhone X. One of the phones will have an LCD screen, which is the type of display that's currently used on the iPhone 8 and all previous iPhones.

The biggest question for investors is what the mix will be between the three devices. The iPhone X, which is currently the only phone with an OLED screen, starts at $999, which makes it one of the most expensive smartphones in the world.

That price tag is largely due to its screen technology. The OLED part costs $100, whereas LCD iPhone screens cost about $40, according to analysts cited by the Wall Street Journal. If Apple sells more OLED iPhones, then the iPhone will have a higher average price.

That's part of the reason why Apple may be shifting its production plans to make more LCD iPhones than OLED iPhones, according to the Journal report, citing executives at parts makers with direct knowledge. They anticipate the less expensive models will be more popular.

OLED screens can have better image quality than LCD displays, as well as darker blacks and lower power consumption.

Friday's news corroborates other reports about the 2018 iPhone lineup from sources like Bloomberg and well-known analyst Ming-Chi Kuo.

All three predict Apple to launch three new iPhones this fall: an upgraded version of the iPhone X, a version of the iPhone X with a bigger screen, and the lower-cost LCD iPhone with facial recognition.

Kuo previously predicted that the LCD iPhone could be priced between $550 and $650. Here's a graphic that shows what his iPhone lineup prediction looks like.

2018 iPhone lineup KGI Securities