Apple Inc (AAPL) is reportedly working to add a rear-facing 3D laser system to the back of the next iPhone, according to Fast Company.

The 3D laser and its new sensor system will enable better depth detection for augmented reality apps and enhance autofocus for photography. A 3D sensor on the front-facing camera will likely also be included in the next model and will be used for selfie effects and facial recognition.

Apple is attempting to include the sensor and laser system in the iPhone model expected to be released this fall, but it's unclear if engineering progress is moving quickly enough to make that possible.

The VCSEL laser system Apple is using costs about $2 per phone. Lumentum (LITE) , Finisar (FNSR) and II-VI will provide the VCSEL systems to Apple.

Apple stock was up over 1% in midday trading.

What's Hot On TheStreet

How can we argue with this one: Shark Tank Star Kevin O'Leary is more fond of Tesla's (TSLA) product than its stock.

"At some point it has to fall to gravity," he said told TheStreet's Scott Gamm in an interview. "It's been trading on a different planet for years and now it has to trade on Earth." Amen.

Relax Apple stock bulls: For now, reports suggest a moderate delay in the Apple (AAPL) iPhone 8 ramp, rather than something more severe points out TheStreet's Eric Jhonsa. So far, the market has shrugged off concerns on a possible delayed iPhone 8 release (as in it misses the holiday launch window). But it's worthwhile to keep something in mind: Apple shares have lagged the S&P 500 over the past month, so some doubt may be trickling into the bull camp.

Further, key Apple supplier Taiwan Semiconductor Manufacturing Co. (TSM) just served up some uninspiring figures that suggest waning smartphone demand.

This beverage executive just went off the rails: Hat tip to TheStreet's Lindsay Rittenhouse for an insightful interview with SodaStream's (SODA) CEO Daniel Birnbaum, who pulled no punches in his views on PepsiCo (PEP) and Coca-Cola (KO) .

Said Birnbaum on why his company's stock has surged this year:

The company is addressing mega trends - health and wellness, convenience, consumer choice and good, important values. We have the right product at the right time. Our competition is prehistoric and that might explain the success we've seen around the world, particularly in Japan, New Zealand, Canada, Germany, Norway, all over the world. This is not a local phenomenon. This is a global mega trend. We're looking to embrace a sustainable world for our children to live in.

Birnbaum didn't shut the door on making acquisitions, either.

OK Target, we see you: It looks like shoppers are noticing some more deals scattered about Target (TGT) stores.

The discount retailer, which has sought to slash prices this year to better compete with rivals Walmart (WMT) and Amazon (AMZN) , said Thursday its second quarter results would come in above the high-end of its estimates for 95 cents a share to $1.15 a share. Target credited improved traffic and sales trends through the first two months of the second quarter.

Apple and PepsiCo are holdings in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. Want to be alerted before Cramer buys or sells AAPL and PEP? Learn more now.

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