iPhone 15's Record High Production Costs Could Push Up iPhone 16 Prices
The iPhone 15's production costs are appreciably higher than those of last year's iPhone 14 models, marking record high component prices that Apple could pass onto customers in 2024, Nikkei Asia reports.
The iPhone 15 Pro Max is calculated to cost $558, a 12% increase over the iPhone 14 Pro Max model released in 2022. This is a record high for the total cost of an iPhone's components. From 2018 to 2021, the total cost of parts for Apple's iPhone "Pro Max" models ranged from $400 to $450. Component costs rose around 20% in 2022 before reaching today's record high of $558.
The cost of the iPhone 15 Pro Max's telephoto camera now stands at $30, a 380% increase over the previous model. Likewise, the titanium frame costs $50, a 43% increase over the stainless steel frame of previous devices. The A17 Pro chip comes in at $130, a 27% increase over the A16 Bionic chip.
The other models in the iPhone 15 lineup are also not immune to cost increases. The standard iPhone 15's components come in at $423, a 16% increase compared to the iPhone 14. The iPhone 15 Plus is calculated at $442, a 10% increase over its predecessor, while the iPhone 15 Pro grew by 8% to $523.
Despite increased costs, Apple did not increase the retail prices of any of its iPhone models this year and chose to absorb the impact of increased expenses. The only notable change was the discontinuation of the 128GB Pro Max model, meaning that users who normally purchased the 128GB model now have to pay $100 more to obtain the device.
In collaboration with Nikkei, Tokyo-based research company Fomalhaut Techno Solutions believes that if Apple continues to absorb the impact of increased production costs, its bottom line will soon take a hit. As a result, Apple may finally choose to hike iPhone retail prices upon the launch of next year's iPhone 16 lineup.
Popular Stories
iOS 18.1 will be released to the public in the coming weeks, and the software update introduces the first Apple Intelligence features for the iPhone. Below, we outline when to expect iOS 18.1 to be released. iOS 18.1: Apple Intelligence Features Here are some of the key Apple Intelligence features in the iOS 18.1 beta so far: A few Siri enhancements, including improved understanding...
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we sometimes get rumored feature leaks so far ahead of launch. The iPhone 17 series is no different – already we have some idea of what to expect from Apple's 2025 smartphone lineup. If you plan to skip...
Alleged photos and videos of an unannounced 14-inch MacBook Pro with an M4 chip continue to surface on social media, in what could be the worst product leak for Apple since an employee accidentally left an iPhone 4 prototype at a bar in California in 2010. The latest video of what could be a next-generation MacBook Pro was shared on YouTube Shorts today by Russian channel Romancev768, just...
Rumors strongly suggest Apple will release the seventh-generation iPad mini in November, nearly three years after the last refresh. Here's a roundup of what we're expecting from the next version of Apple's small form factor tablet, based on the latest rumors and reports. Design and Display The new iPad mini is likely to retain its compact 8.3-inch display and overall design introduced with...
The current Apple TV was released two years ago this month, so you may be wondering when the next model will be released. Below, we recap rumors about a next-generation Apple TV. In January 2023, Bloomberg's Mark Gurman reported that a new Apple TV was planned for release in the first half of 2024:Beyond the future smart displays and new speaker, Apple is working on revamping its TV box....
Apple often releases new Macs in the fall, but we are still waiting for official confirmation that the company has similar plans this year. We're approaching the middle of October now, and if Apple plans to announce new Macs before the holidays, recent history suggests it will happen this month. Here's what we know so far. As of writing this, it's been 220 days since Apple released a new...
