Sharp, the company that led the commercial development of LCDs all those years ago has announced this interesting development, where they are able to embed an image sensor into each pixel of an LCD display.
See JCN Network article here.
This allows for a multi-touch screen interface without additional touch layers on the screen, and the ability to use the surface as a scanner and maybe with further development other purposes like fingerprint reader.
Not having to bond an additional touch layer to the display is stated as reducing overall weight and thickness and as improving display quality, which suggests they have been able to do this without each sensor degrading the quality of each pixel - although they don't mention that.
I must now go off and look at those Apple iPhone tear-downs on the web to see what display and touch screen Apple are using.
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