Kuo says adoption of Sub-6GHz 5G technology will increase Apples costs by $75–$85, while millimeter wave innovation will incur a $125–$135 expense for Apple, so the company is cutting expenses on other parts wherever it can.
While Apple has actually broadly been putting “greater bargaining pressure” on its providers, the battery board is one location where Kuo thinks suppliers will see the most significant cost trimming with Apple supposedly relocating to an easier and smaller sized style with less layers. The hybrid hard and soft battery board for the iPhone 12 will supposedly be 40– 50% cheaper than the comparable part in the iPhone 11 series, although this component is likely a little contributor to Apples total costs.
Apple has also been putting pricing pressure on its circuit board suppliers for the AirPods, Kuo states, with the average cost of soft and tough boards in the AirPods 2 declining by 25– 35% considering that the very first half of the year.
Looking out further into the future, Kuo says Apple will push the envelope even more with the “iPhone 12s” lineup in 2021, embracing a simply soft board design that will slash off an additional 30– 40% compared to the iPhone 12 board price.
Apples current suppliers will deal with even more issues when the AirPods 3 launch in the first half of 2021, according to Kuo. He repeats his previous claims that the next-generation earphones will follow the AirPods Pro in embracing an integrated system-in-package (SiP) style rather than the surface-mount technology (SMT) discovered in the present AirPods 2.
Apple is looking to put a rates capture on element providers for the upcoming iPhone 12 lineup to assist offset increased costs for new 5G technology and lessen the need for cost increases across the flagship lineup, according to a new research study note from analyst Ming-Chi Kuo seen by MacRumors.
