Nikkei Asia reported that component prices for the latest iPhones are up 20%, reaching an all-time high. The iPhone 14 Pro Max costs $501, a big increase from the $461 price of its predecessor, and the main reason is the A16 Bionic chip, which costs only $110.

The production of iPhone 14 costs 20% more than iPhone 13

The price of the Pro Max model has varied between $400 and $450 since the product was introduced in 2018, Nikkei wrote. The news website predicts that if Apple is winning the factory price while not touching the US price, it is likely that the company will be able to make a profit in the profit.

The A16 Bionic chip costs 2.4 times more than its predecessor A15, which is also found in two Pro models – iPhone 14 and iPhone 14 Plus. Another reason for the price increase is Sony’s new CMOS sensors that are 30% larger but 50% more expensive, reaching a raw price of $15. Apple also buys its screens from Samsung Display, a deal that has been in the works for years.

The production of iPhone 14 costs 20% more than iPhone 13

Components for iPhone 14 devices from American companies accounted for about one-third of the total revenue and increased by 10%, compared to 2021. South Korea is the second largest producer of the device phones, and the change is due to Apple. develop its own products, such as chipset.

Shares in China have further declined, as Cupertino tries to limit its reliance on Asian markets. Previous reports have revealed that not only the parts, but also the assembly process is going out of the country. Teardown explained that there are no additional tools for the emergency SOS function, as it is software-based, meaning it can reach more markets in the future.

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