iPhone 18 Anticipated to Rise in Price Because of Expensive A20 Chip

iPhone 18 Anticipated to Rise in Price Because of Expensive A20 Chip

iPhone 18 Anticipated to Rise in Price Because of Expensive A20 Chip


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the China Times reports that Apple’s iPhone range for 2026 could see an increase in prices across the board. This potential price surge is attributed to the significantly more costly manufacturing process of Apple’s upcoming A20 chip compared to earlier A-series chips. The A20 is notable as it is the first processor to utilize TSMC’s 2 nm manufacturing technique. Consequently, the production cost of the A20 is expected to be 50% greater than that of the A19.

Although TSMC has historically provided Apple with discounts owing to the high volume of orders placed by the iPhone manufacturer, the substantial capital investment needed to produce the A20 may lead Apple to bear the increased cost, thereby passing it on to consumers. Additionally, it’s plausible that Apple could reserve chips produced using TSMC’s 2 nm process solely for its iPhone Pro variants. This approach would be logical, as it would aid in distinguishing the iPhone 18 Pro from the standard model.

What advantages does a 2 nm process offer?