Apple Inc. (Nasdaq: AAPL) has always been on the cutting edge of smartphone technology, and the iPhone may finally be on the precipice of a major push into augmented and virtual reality.
Analysts say Apple is investing heavily in 3-D sensing technology, and the company is likely to release a 2019 iPhone that features a rear-facing camera capable of creating a 3-D image of a user’s environment.
[See: Warren Buffett’s 8 Favorite Stocks.]
In November, Bloomberg reported that Apple has been working on a rear-facing 3-D sensor for the iPhone. Apple’s current TrueDepth sensor system, which is part of its Face ID feature, utilizes a structured-light technique that involves projecting a laser dot pattern on an object and measuring distortion to recreate a 3-D model. However, the rumored rear-facing system would use a time-of-flight approach that involves creating a 3-D image of a person’s surroundings by taking measurements of the time it takes laser pulses to bounce off objects and return to the sensor.
Rosenblatt Securities analyst Jun Zhang says iPhone users may not get a device that includes this new 3-D sensing technology until 2019, but that doesn’t mean Apple won’t start rolling out a wave of AR and VR apps in 2018.
“We believe Apple could add more applications for its 3-D sensing solution, and we believe the company is likely to launch some AR/VR applications later this year,” Zhang says.
“We believe that Apple is working with Sony on its ToF solution for rear camera support for better VR/AR functionality and that it is possible that Apple could launch an iPhone with a rear ToF solution in 2019,” he says.
Zhang also says that Alphabet ( GOOG, GOOGL) could roll out a meaningful update to its Tango 3-D sensing system before the end of the year.
[See: 6 Reasons to Love Apple Stock in 2018.]
Bank of America analyst Wamsi Mohan is expecting Apple to roll out an updated LCD iPhone as one of three new 2018 iPhone models but says investors shouldn’t get their hopes up for rear 3-D sensing this year.
“The new LCD iPhone is expected to have FaceID, no home button, no force touch and potentially a single rear camera,” Mohan says. “We are not expecting rear 3-D sensing until 2019.”
Rosenblatt has a “buy” rating for Apple. Bank of America has a “buy” rating and $220 price target for AAPL stock.
More from U.S. News
9 Growth Funds That Will Turbocharge Your Portfolio
13 Ways to Take the Emotions Out of Investing
8 ETFs for Investors Who Love Value
Apple Inc. (AAPL) Is Making a Push For iPhone 3-D Sensing originally appeared on usnews.com