Despite the buzz surrounding the possible release of the rumored iPhone 6C, an analyst believes Apple will not likely launch a 4-inch smartphone this year.

In a letter released by analyst Ming-Chi Kuo of KGI Securities to investors, he predicted that the rumored smartphone with Apple Pay features will probably come out sometime in 2016.

Kuo's prediction is based on the current status of Apple's iPhone 5S which was first launched in September, 2013. Since this model is still popular among consumers, it will be redundant for Apple to release another 4-inch smartphone this year.

"iPhone 5S still going strong; next 4-inch likely in 2016," the analyst said in the letter according to Mac Rumors.

"Shipments of 5S are still going strong at 5-7 [million] units every quarter, an impressive level at such a mature stage of the product cycle," Kuo continued. "Momentum is being sustained by a more affordable price and the product's outstanding design."

Kuo still strongly believes that Apple will push forward with the production of a 4-inch smartphone, despite the company's recent products with bigger screens, such as the iPhone 6 with 4.7-inch display and the iPhone 6 Plus with a 5.5-inch screen.

He explained that due to the popularity of the iPhone 5S, it will be very beneficial for Apple to take advantage of the high demand for 4-inch smartphones.

In addition, if Apple's next device is equipped with near field communication (NFC), then it would complement the company's Apple Pay service.

As for the iPhone 6C, there are no official details from Apple yet regarding its features. However, rumors suggest that the iPhone 6C might be a repackaged version of the iPhone 5S. This means the former might be equipped with parts of the latter and be given a rear plastic casing, Apple Insider reported.

This is the same process Apple used in turning the iPhone 5 into the iPhone 5C.