So Apple could be working on an iPhone with a thinner display, you say. Look what we have here, possibly in the nick of time: it's a newly granted Apple patent for a screen with in-cell touch, where the LCD and touch recognition are integrated into one panel instead of stacking up in separate layers. Apple's implementation would slim things down by either having electrodes share duties, both driving the display and taking finger input, or stuffing two electrodes into each pixel to accomplish the same goal.
Engadget , Apple gets patent for in-cell touch display with impeccable timing, Apple gets patent for in-cell touch display with impeccable timing