LG and Apple are working together to install Organic Light Emitting Diode (OLED) screens in a new version of the iPhone as well as a forthcoming Apple netbook, says SmartHouse.

The Australian website says sources at LG, which signed a multi-million pound deal with Apple last year, claim Apple is currently working on the netbook. As well as providing Apple with the OLED screens, it's also thought LG is looking at how to remove fingerprints left behind on touchscreens, indicating the netbook may well be touch sensitive.

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The web has been awash with rumours that Apple is intending to launch a netbook but the company has remained tight-lipped as usual. However, a new version of the iPhone looks increasingly likely following the release of the iPhone 3.0 software this week, which offers a host of new features.

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See also: Hands-on with an Apple Mac netbook