iPhone 12: Cheaper batteries should absorb the cost for 5G

Apple to offset costly 5G iPhone

As the production costs of the iPhone 12 increase due to the integration of the new 5G mobile standard, Apple should look for ways to reduce these with other components. The analyst Ming-chi Kuo, known for Apple rumors, sees the greatest potential for this in the battery of the iPhone 12.

New battery 40 to 50 percent cheaper

The battery of the iPhone 12 should have less layer and be simpler than with previous iPhones, which should significantly reduce production costs - Kuo speaks of savings of 40 to 50 percent. To what extent this also affects the capacity and battery life is open. However, it is conceivable that Apple achieves identical runtimes to the iPhone 11 with the capacity of the battery again reduced.

Kuo assumes that the integration of 5G with sub-6 GHz and mmWave support costs Apple between 125 and 135 US dollars on each iPhone, only with support of the sub-6 GHz spectrum it should be 75 to 85 US dollars. Qualcomm will be the exclusive supplier of 5G technology, so a cheaper battery alone cannot cover these costs. Appropriate rumors that Apple no longer attaches headphones and a charger to the new iPhone in order not to have to increase the selling price of the iPhone 12 too much, have been going on for months.

Further adjustments next year

For the iPhone 12S in 2021, further design changes will once again enable a cost reduction of 30 to 40 percent in the production of the battery. In this context, Kuo remains guilty of what these new changes to the battery design look like and why they cannot or will not be implemented by Apple this year.

Launch of the iPhone 12 in September, available in October

Apple is currently expecting an announcement of the iPhone 12 by early September. The new iPhone could reach retail in October - a few weeks later than last year. Whether all variants will be available at the same time is open. It is often speculated that Apple is aiming for a more gradual start this year.

Also battery of the AirPods should be cheaper

According to Kuo’s information, Apple plans to reduce costs with a revised battery not only for the iPhone, but also for the next generation of AirPods (test). By switching to a system-in-package design (SiP) similar to that of the AirPods Pro (Test) with the third generation, the costs should also be significantly reduced.