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Apple may use cheaper battery parts to cut cost of iPhone 12.


Gadget Insights: Apple might choose cheaper and less complex battery technology for the upcoming iPhone 12 series in order to cut costs on next-generation hardware, according to research analyst Ming-Chi Kuo. The company is facing higher production costs due to the inclusion of 5G hardware, it is trying to use less expensive components in other areas.

In a note to investors that was accessed by MacRumors and AppleInsider, Apple analyst Ming-Chi Kuo said that, “ Apple was putting “higher bargaining pressure” on its suppliers and the battery board was an area Kuo believed suppliers would see the biggest cost trimming”. The battery board for iPhone 12 will reportedly be 40-50 percent cheaper than the parts in the iPhone 11 series.

Apple may use cheaper battery parts to cut cost of iPhone 12 - The Wall Post
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The use of 5G technology will increase Apple’s cost by around $75-$85 (roughly Rs. 5,600 to Rs. 6,300), and the millimetre wave technology will incur another $125-$135 (roughly Rs. 9,300 to Rs. 10,100) for the production.

Kuo said that, “Apple would make similar moves with AirPods, discontinuing the existing second-generation AirPods battery PCB tech for a system-in-package design that is likely to make its debut with a third-generation model in the first half of 2021.”

Next year’s iPhone 12 series lineup will see the company to use a purely soft board design that will cut off 30 to 40% compared to the iPhone 12 board price, noted Kuo.

Apple is expected to launch the iPhone 12 series this autumn, however reports suggests that the launch may be delayed from Apple’s traditional September launch timeline to October.