The A16 chip in the iPhone 14 Pro costs Apple a lot of money. It would be more than twice as expensive to produce as its predecessor, the A15. Future chips may have an even higher price tag.
Apple spends a lot of money on faster A16 chip
According to Nikkei Asia Apple has to dig deep into its pockets for its latest A16 chip. The processors in the iPhone 14 Pro and 14 Pro Max would cost about $110 each. That is 2.4 times as much as last year’s A15.
The higher price tag is related to the size of the chip. The A15 was baked at 5 nanometers, while the A16 is a 4 nanometer chip. This makes it faster and more economical than its predecessor. But the smaller the processor, the smaller the various parts have to be. That turns out not to be cheap.
The A17 chip for the iPhone 15 Pro is likely to be baked at 3 nanometers. That means the processor has to shrink again. The costs could therefore rise further in the coming years.
For years, every new iPhone had the fastest processor at the time. However, Apple opted for the ‘old’ A15 instead of the new A16 chip with the regular iPhone 14 and 14 Plus. As expected, this appears to be primarily a cost-cutting measure. The A16 is simply too expensive for the entry-level models.
On average, the iPhone 14 models would cost Apple about 20 percent more than the iPhone 13. Still, prices in the United States remained the same. In the Netherlands, the new iPhones are unfortunately a lot more expensive.
Read our iPhone 14 series reviews
All models of the iPhone 14 series are now available. Bee iPhoned we have extensively felt the new smartphones. In our review of the iPhone 14 (Plus) you can read what we think of the entry-level models. Want all the bells and whistles and don’t mind paying for it? Check out our review of the iPhone 14 Pro (Max).
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