iPhone 12 Costs 21 Percent More to Make Than iPhone 11

The blended materials costs for the 128 GB iPhone 12 come in at nearly $415. That’s a 21 percent increase on the iPhone 11, according to analysis from Counterpoint.

OLED Displays Help Bump of Cost of iPhone 12 Materials

Breaking it down, the research found the components designed by Apple in the iPhone 12, such as the A14 Bionic, PMIC, Audio and UWB chip, account for more than 16.7 percent of the costs. The move from LCD displays to OLED displays also prompted a $23 cost increase. No surprise, the 5G-related components also result in a cost bump, that was worth a total of $34. For example, there are more RF components to support the 5G-related spectrum in the iPhone 12. This led to a cost increase of $19. The elements involved in the cost increase included the 5G modem and transceiver. The costs associated with a millimeter-wave model costs even more. The research found the components come in at $431. That’s 26 percent higher than the iPhone 11.

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