According to AppleInsider, Apple has reduced the orders of iPhone 4 flash which firms the believes that the next iPhone or iPhone 4S/5 may have separate flash module. Their source who provided accurate information about Apple in the past suggests that Apple may not be using the Philips LED flash in the next iPhone.

Image Courtesy: Apple.pro
Apple is said to have “greatly reduced” orders of Philips LED flash components in the last one to two months. This person, who has provided accurate information on Apple’s iPhone in the past, said the change “may” be a sign that Philips LED flash will not be used in the upcoming fifth-generation iPhone.
Previously, Apple.pro published a photo of iPhone 5 back cover which had two holes presumably one for camera flash. The rumor got hike when another image of iPhone case was released with two separate holes on opposite sides of the back cover. If this is true, its a good news because the separate camera lens and flash will increase picture quality as well as reduce the red eye effect.
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