5G cost on iPhone will be balanced by cheap battery parts

Faced with higher production costs due to the 5G hardware expected to be included in this year’s iPhone 12 series, Apple is going to use lower-cost components in other areas. This claim is made by analyst Ming-chi Kuo, known for his predictions and analysis on Apple.

It is believed that one of the cost-cutting initiatives will be related to battery technology. Kuo says Apple is reducing the number of layers on the battery plate and placing battery cell components in a smaller area.

This will ultimately make the battery plate 40 to 50 percent cheaper than the same part of the iPhone 11, according to Kuo. And next year’s iPhone batteries will cost another 30 to 40 percent with additional design changes. It is also said that Apple will reduce battery costs for the third generation AirPods expected next year. It will do this by switching to the “package system” similar to the AirPods Pro.

These changes alone will not be enough to balance 5G hardware. Kuo believes that the millimeter wave technology in the iPhone will cost Apple $ 125 to $ 135 per unit, with an additional $ 75-85 for the sub-6GHz. Combining this latest cost reduction initiative with the news that Apple will not add charging adapters or headphones to the box of the new iPhones, it appears that Apple is considering different ways to reduce costs.

This year’s iPhone models are expected to go on sale in October. At least there is such an expectation for abroad. As a result, we can expect the release to the market to be delayed by a few weeks compared to the previous years. However, it is not certain whether Apple will make the promotion in September, as usual.

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