‘iPhone 14 Pro Max costs Apple $17 more each, mainly due to social media’
The 128GB version of the iPhone 14 Pro Max costs Apple $16.56 more to make than the iPhone 13 Pro Max. The increased costs are mainly due to the A16 SoC, the always-on screen and the improved camera, claims analyst Counterpoint.
That A16 SoC costs Apple $11 more per phone, estimates Counterpoint Research. As a result, the cost share of the soc has increased from 18 percent to 20 percent of the total costs. According to the researchers, an iPhone 14 Pro Max costs Apple $464 to make. This is 3.7 percent more than its predecessor, which cost about $447.44 to make, according to Counterpoint.
The screen of the iPhone 14 Pro Max is also more expensive, according to Counterpoint mainly because it supports always-on. The researchers do not say how much more this screen costs. They say that about the cameras; their prices would have increased by a total of $6.30 compared to the iPhone 13 Pro Max cameras. The iPhone 14 Pro Max has a 48-megapixel camera with a sensor that is 65 percent larger than that of its predecessor. The front camera also has one megapixel more and supports autofocus, which increases costs.
The costs for the 5G modem are somewhat lower for the iPhone 14 Pro Max, because 5G is becoming more popular. As a result, the necessary equipment is made on a larger scale and costs are lower. Apple does spend more on self-designed components, but that is also because the company uses more of them for the iPhone 14 Pro Max. The iPhone 14 Pro Max was announced in September.
Cost split of the iPhone 14 Pro Max and iPhone 13 Pro Max according to Counterpoint