Explained: Why iPhone 14 Pro Max costs 3.7% more to make than iPhone 13 Pro Max | Technology news

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New Delhi: The mixed bill of materials (BoM) cost for the iPhone 14 Pro Max with 128GB Nand flash is now around $464, a 3.7 percent increase over the iPhone 13 Pro Max, a report showed Monday.

In the iPhone 14 Pro Max, Apple’s self-designed chips accounted for over 22 percent of the total BoM cost. Aside from the A16 bionic processor, Apple’s self-designed chips include PMIC, audio, connectivity and touch controls, according to Counterpoint Research. (Also Read: Residents of THIS Indian state do not pay income tax! Why are natives exempt? – Check)

The upgrade to the A16 Bionic chipset from the A15 Bionic resulted in a cost increase of $11, driving the processing group’s cost share to 20 percent in BoM. The new main camera with a 48 MP image sensor and the screen with an always-on display feature drive the cost increase. (Also read: IT layoffs 2023: Over 17,400 technical employees were laid off in February globally to date)

“The application processor, display and camera are the main categories where costs have increased. These components now also have a larger share in the BoM,” said Shenghao Bai, senior analyst at Counterpoint.

Apple’s new generation mobile processor, the A16 bionic, contains a whopping 16 billion transistors, an increase of 6.7 percent from the A15’s 15 billion transistors. Due to its more advanced 4nm process, the application processor alone is estimated to introduce a cost increase of $11, taking the processing category’s share to 20 percent in BoM costs.

The iPhone 14 Pro Max has a 48 MP main camera with a quad-pixel image sensor with a sensor area that is 65 percent larger than the iPhone 13 Pro Max.

“The front camera has been improved with the addition of the autofocus function, while its lens has been upgraded to 6P from the 5P found in the iPhone 13 Pro Max. GSEO and Sunny Optical are the main suppliers of the front camera lens. Together, these upgrades have driven the camera category cost up by $6.30 in the iPhone 14 Pro Max,” Bai said.

Apple’s proprietary components have a larger share of the total BoM cost for the iPhone 14 Pro Max than for the iPhone 13 Pro Max. “Our estimate suggests that Apple’s self-designed components account for 22 percent of the total BoM cost of the iPhone 14 Pro Max,” the report said.

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