We have heard a lot of reports about Apple's upcoming flagship smartphone releasing in 2020, the iPhone 12. Leaks and speculations claim that the device will house next-generation tech and superior materials, which make consumers believe that the iPhone 12 might have an extremely high base price. However, according to a reliable Apple tipster, neither the 5G modem nor the new materials will affect the retail price of the next smartphone that Apple will introduce.
The Cupertino tech juggernaut may not incorporate a massive price increase next year on its iPhone 12, according to Ming-Chi Kuo. The TFI analyst is known for his insights and accurate predictions about Apple products and plans. Components needed to ensure that the upcoming iPhone 12 models will work well with the 5G modem is expected to increase the production cost by around $100 relative to the kind of model the consumer purchase, claims wccftech.
Interestingly, Kuo says that the Cupertino giant is not expected to raise the price of the upcoming smartphone by a substantial margin. Although Kuo's prediction means that consumers can expect to pay a slightly higher amount for the iPhone 12, it will not be as ludicrous as what most are imagining it. To keep the prices of the iPhone 12 models competitive in various price points, Apple reportedly did some measures to keep the prices down, wccftech reports.
Apple could cut the cost of 5G by minimizing the expenses in the supply chain. This could be possible by shifting to its in-house division research and developments of components such as the redesigned metal frame and chassis. Earlier reports revealed that Apple provided a one-time cost for design, development, research, and testing of a new component or product to suppliers, thus, increasing indirect costs.
iPhone 2020 series will have a price increase from $30-$100, because of 5G and other parameters change!!#iphone #iphone12 #iPhone11ProMax #apple pic.twitter.com/hhmTYtgj5p — TechMate (@TechMate01) December 12, 2019
It appears that the Cupertino titan is avoiding this altogether to make sure that it can control the price of the iPhone 12. This is a strategic and smart business move, which could also mean possibly cheaper models. Reports claim that the base model of the iPhone 12 series may sport an LCD screen despite rumors that Apple will introduce an all OLED series in 2020.
2020 iPhones are believed to feature #5G - which could lead to hike in prices of the phones. Analyst Ming-Chi Kuo says that while the devices will be expensive, the difference will only be of $50 compared to existing ones. Here's why:#iphone12 @Applehttps://t.co/8GaRT3mjli — Tech2 (@tech2eets) December 13, 2019
Maintaining an LCD screen is also a smart way to keep the production cost at bay. Considering the success of the iPhone 11, thanks to the competitive $699 base price, it seems that Apple will offer more features and selling points at an affordable range.
