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How much does it cost Apple to manufacture an iPhone 14 Pro Max, its most expensive cell phone

2023-02-21T10:19:32.630Z


The prices of some components went up in 2022, affecting the production cost of the high-end tank. A new market report has revealed how much it costs Apple to make the iPhone 14 Pro Max , the brand's latest flagship. The cost of production could give clues to the price of its successor, the next iPhone 15. According to published data, the iPhone 14 Pro Max is about 3.4% more expensive for Apple to manufacture than the iPhone 13 Pro Max. The main reason for this increase is the new 48 MP rear c


A new market report has revealed

how much it costs Apple

to make the

iPhone 14 Pro Max

, the brand's latest flagship.

The cost of production could give clues to the price of its successor, the next iPhone 15.

According to published data, the iPhone 14 Pro Max is about

3.4% more expensive

for Apple to manufacture than the iPhone 13 Pro Max.

The main reason for this increase is the

new 48 MP rear camera

, as well as the new Always

On

screen .

The prices of certain components rose this year, which affected the cell phone market.

How much does it cost to make an iPhone 14 Pro Max


The production costs of the iPhone 14 Pro Max.

(Photo: Apple)

Other data from the Counterpoint report puts the focus on what Apple invests in the production of the iPhone 14 Pro Max and its components.

For example, the home-made

A16 Bionic chip

costs about $11 more per unit than the A15 Bionic chip.

And that's not all: the general "processing" category, which includes the latest

chip

, now accounts for

20% of the total cost of materials

.

When it comes to the production of the brand's flagship smartphone, self-designed components have a larger share of the total BOM cost in the iPhone 14 Pro Max model than in the iPhone 13 Pro Max.

In fact, self-designed components account for 22% of the total BOM cost of the iPhone 14 Pro Max.

Thus, the production of a 128 GB iPhone 14 Pro Max smartphone costs about 

$474

compared to

$1,099

 when sold in stores in the United States.

The new A16 Bionic SoC made its debut with the iPhone 14.

As always, it's important to keep the big picture in mind when looking at production costs like the apple company's.

Apple works closely with its suppliers and often finalizes component costs well in advance.

These numbers also cover materials only and do not include other production costs such as assembly, packaging, or distribution.

Of course, Apple has spent enormous amounts of money on

research and development, sales, and marketing

.

However, it is particularly interesting to see how the costs of these components fluctuate over time and how they affect Apple's prices for consumers.

For example, the iPhone 14 Pro Max costs the same as the iPhone 13 Pro Max, despite the slight price increase for components.

One of the most notable year-over-year cost increases, according to Counterpoint, came from the iPhone 11 to iPhone 12. For that transition,

component costs increased 26%

, mostly due to 5G modems.

SL

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Source: clarin

All tech articles on 2023-02-21

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