According to the latest rumors, there may be extra space inside the Apple Watch 7. This is thanks to the rumored inclusion of a smaller sided "S7" chip.

This is according to a DigiTimes report, which claims that the upcoming Apple Watch will feature a double-sided System in a package by Taiwan's ASE Technology.

ASE Technology's website confirms that its double-sided technology could allow for "smaller modules" and free up space inside the Apple Watch Series 7. The question is, what will that space be used for?

An obvious suggestion would be a larger battery; the Apple Watch Series 6 has the same 18-hour battery life as the previous three models, and it's about time Apple made some changes to improve that number.

As for battery size, the Apple Watch 4 had a 292 mAh battery, the Apple Watch 5 had a 296 mAh battery, and the Apple Watch 6 had a 265.9 mAh battery. Therefore, an improvement in battery size could be significant for the Apple Watch 7.

While having enough power to get through the day is great, having to charge the Apple Watch every night means that users may not be able to use the Apple Watch's sleep tracking feature. Even a few more hours of battery life might be enough to make the wearable even more useful.

The double-sided S7 chip may also free up space for a brand new feature that Apple may want to include in the next Apple Watch. Blood glucose monitoring has been rumored for some time, but a recent Bloomberg report states that the Apple Watch 7 will skip this feature.

Nevertheless, there are other health and fitness features that could be added. Swimming tracking is rumored, but it is unclear if it will require additional components.

In any case, there are many features that could depend on brand new hardware, and the extra space inside the watch means that Apple does not need to increase its size.

This does not mean that Apple is working on reducing the size of the Apple Watch 7; according to Bloomberg, the next Apple smartwatch will actually be slightly thicker.

The Apple Watch 7 is also rumored to have a thinner bezel and possibly a flat-edge design. Apple is expected to announce the new watch sometime in September, and with the iPhone 13 rumored to arrive in the same month, it would not be surprising if it all took place at the same event.