APPLE looks set next week to unveil its much-awaited new iPhone, which analysts say will have a bigger screen and work better with remote computing services.

Apple has invited media to a "special event" called "Let's talk iPhone" next Tuesday at its California headquarters, an unusual location for a company that typically introduces major products at larger venues in San Francisco. The invitation did not have any other details, and an Apple spokesman would not provide further information.

The new iPhone would be the first major product launch under Tim Cook, who took over as chief executive after co-founder Steve Jobs resigned last month.

Though a good product, the current iPhone 4 could use some improvements, according to ThinkEquity analyst Mark McKechnie, who said it should have "a bigger screen, a dual-core processor, and should probably integrate pretty well with the iCloud."

The iPhone - introduced in 2007 with the touchscreen template now adopted by its rivals - remains the gold standard in the booming smartphone market. A source said the new model, which some have dubbed the iPhone 5, will have a bigger touch screen, better antenna and an 8-megapixel camera.

Hon Hai Precision Industries Co and Pegatron Corp of Taiwan will make the new phone, and have been told to gear up capacity for up to 45 million units in total, the source said.

Apple launched the iPhone 4 in June last year. The company typically refreshes its iPhone lineup during its developer event in June, but delayed the new model this year.

Apple sold 20.34 million iPhones in the quarter ending June 25, which analysts said helped it vault past Nokia and Samsung Electronics to become the world's biggest smartphone maker.