Counterpoint Technology Market Research specialists have calculated the cost of smartphone components Apple iPhone 12 based on Bill Of Materials (BOM) analysis. They estimate the total cost of parts for the base iPhone 12 for the US market is $ 431, 26% higher than the total cost of parts for the previous generation iPhone 11.
5G components are definitely an essential element of the iPhone 12. The iPhone 12 models for the US market are more expensive because they include mmWave 5G support.
Counterpoint analysts noted that we are talking about the cost of production of the iPhone 12 mmWave smartphone with flash memory of 128 GB for the US market.
Without the mmWave components, the iPhone 12 with 128GB flash is priced at $ 415, which is 21% more expensive than the iPhone 11 with the same flash. Despite saving more than $ 27 due to the simplified RF module design, the cost of the iPhone 12 model supporting only the 6 GHz (Sub-6) band for the global market still increased.
“The iPhone 12’s LCD to OLED switch is a big leap that has resulted in a cost increase of more than $ 23, – indicated in the company’s statement. – Cost increases are also driven by the use of 5G-related components, with components such as the 5G modem, transceiver, and external RF system combined to add $ 34 to the cost.“. The A14 Bionic processor in the iPhone 12, developed by Apple, according to Counterpoint, also significantly influenced the growth in the cost of the new version of the smartphone.
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