The Wall Street Journal has just issued an alert saying that Apple’s next-generation iPhone will sport a new screen technology. According to the publication, this new technology will make this new iPhone’s display even thinner. This will likely yield a thinner device overall, something corroborated by the numerous part leaks thus far.

The Journal‘s full story claims that Sharp, LG, and a new company called Japan Display are developing the new screen technology for the next-generation iPhone. The new, “in-cell” technology does not seperate the touch sensors from the LCD itself, making the screen thinner:

The technology integrates touch sensors into the LCD, making it unnecessary to have a separate touch-screen layer. The absence of the layer, usually about half a millimeter thick, not only makes the whole screen thinner, but the quality of displayed images would improve, said DisplaySearch analyst Hiroshi Hayase.

The report notes that dropping the additional touch sensor layer will make gearing up the supply chain for production of the new device an apparently easier task.

For Apple, the new technology would also simplify the supply chain and help cut costs as it would no longer have to buy touch panels and LCD panels from separate suppliers.

David Hsieh, also an analyst from DisplaySearch, first reported on Apple’s move to in-cell touch screen technology for the 2012 iPhone in April.

Notably, the report also says that Wintek, the supplier of the Retina Display LCD found in the iPhone 4S, is currently left out of the next-generation iPhone part supply deals.

The next iPhone will likely launch in the fall, and past reports point to the new device carrying a taller, four-inch display, a redesigned, smaller dock connector, LTE network-support, and possibly support for a smaller SIM card standard.