iPhone 15's Record High Production Costs Could Push Up iPhone 16 Prices
The iPhone 15's production costs are appreciably higher than those of last year's iPhone 14 models, marking record high component prices that Apple could pass onto customers in 2024, Nikkei Asia reports.
The iPhone 15 Pro Max is calculated to cost $558, a 12% increase over the iPhone 14 Pro Max model released in 2022. This is a record high for the total cost of an iPhone's components. From 2018 to 2021, the total cost of parts for Apple's iPhone "Pro Max" models ranged from $400 to $450. Component costs rose around 20% in 2022 before reaching today's record high of $558.
The cost of the iPhone 15 Pro Max's telephoto camera now stands at $30, a 380% increase over the previous model. Likewise, the titanium frame costs $50, a 43% increase over the stainless steel frame of previous devices. The A17 Pro chip comes in at $130, a 27% increase over the A16 Bionic chip.
The other models in the iPhone 15 lineup are also not immune to cost increases. The standard iPhone 15's components come in at $423, a 16% increase compared to the iPhone 14. The iPhone 15 Plus is calculated at $442, a 10% increase over its predecessor, while the iPhone 15 Pro grew by 8% to $523.
Despite increased costs, Apple did not increase the retail prices of any of its iPhone models this year and chose to absorb the impact of increased expenses. The only notable change was the discontinuation of the 128GB Pro Max model, meaning that users who normally purchased the 128GB model now have to pay $100 more to obtain the device.
In collaboration with Nikkei, Tokyo-based research company Fomalhaut Techno Solutions believes that if Apple continues to absorb the impact of increased production costs, its bottom line will soon take a hit. As a result, Apple may finally choose to hike iPhone retail prices upon the launch of next year's iPhone 16 lineup.
Popular Stories
Apple typically releases its new iPhone series in the fall, and a possible September 10 announcement date has been floated this year, which means we are just one month away from the launch of the iPhone 16. Like the iPhone 15 series, this year's lineup is expected to stick with four models – iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max – although there are plenty of design...
Apple's M3 MacBook Pro is seeing multiple high value discounts on Best Buy and Amazon today, with up to $1,000 off select models. This includes a new all-time low price on the entry-level M3 512GB 14-inch MacBook Pro at $1,299.00, down from $1,599.00, and a massive $1,000 discount on the high-end 16-inch model exclusively for Best Buy members. Note: MacRumors is an affiliate partner with Best...
Multiple rumors have suggested that the iPhone 16 models are going to have an all-new button that's designed to make it easier to capture photos when the devices are held in landscape mode. Apple calls the button the Capture Button internally, and it is going to be one of the most advanced buttons that's been introduced to date with support for multiple gestures and the ability to respond to ...
Apple is beta testing iOS 18 and the first update to iOS 18 concurrently, and we got the second betas of iOS 18.1, iPadOS 18.1, and macOS Sequoia 15.1 today alongside the sixth betas of iOS 18, iPadOS 18, and macOS Sequoia 15. Many of the changes in iOS 18.1 are focused on bringing the .1 betas in line with the standard betas, which recently received updates to Photos and Safari, while...
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we sometimes get rumored feature leaks so far ahead of launch. The iPhone 17 series is no different – already we have some idea of what to expect from Apple's 2025 smartphone lineup. If you plan to skip...
Apple's rumored iPhone 17 "Slim" could be positioned as an iPhone "Air" to boost sales, according to Bloomberg's Mark Gurman. In the latest edition of his "Power On" newsletter, Gurman explained how the "fourth" model in the iPhone lineup since 2020 (the iPhone 12 mini, iPhone 13 mini, iPhone 14 Plus, and iPhone 15 Plus) has largely been a commercial failure. In the case of the Plus model,...
