Making a 5G-enabled phone is a costly affair as we have seen in the case of all the 5G-ready Android phones that have launched till now. Apple’s first 5G iPhone will be no different and that would just mean a bigger hole in the pocket of its buyers.
It seems though Apple wants to curb that as much as it can, which is why it is going to cut costs in other departments such as battery, according to a report by MacRumors.
The report that cites a research note from analyst Ming-Chi Kuo suggests that Apple has been imposing a “higher bargaining pressure” on its suppliers since use of the Sub-6GHz 5G technology is likely to increase the company’s costs by $75–$85. Among all the components, it appears that Apple is trying to trim the biggest chunk of cost from the battery department as it is “reportedly moving to a simpler and smaller design with fewer layers.”
The report suggests that the new battery cost is expected to be 40–50% cheaper than the one used on the iPhone 11 series, even if this is a tiny contributor to Apple’s overall costs.
In the next 12 months or so, Apple is expected to further reduce the cost by another 30–40% compared to the iPhone 12 board price, says the report.
For those unaware, Apple is expected to launch four models in the upcoming iPhone 12 range. Every year the launch takes place in the month of September, however, during the company’s previous quarterly earnings call, Apple’s chief financial officer Luca Maestri confirmed that there will be a delay in the availability of the iPhone 12, however, no date was announced.