iPhone 12 costs more to manufacture than iPhone 11

The iPhone 12 is significantly more expensive to manufacture than iPhone 11.

According to a new report from Counterpoint, the iPhone 12 costs significantly more to manufacture than iPhone 11: The manufacturing cost has, according to the company’s calculations, increased by 26% to about $431 for an American model with 128GB storage, writes 9to5Mac.

The cost of producing the models sold elsewhere in the world is lower because they do not support mmWave, which means both simplified antenna design and cheaper modems from Qualcomm.

In addition to the 5G modem, which costs significantly more than a 4G modem, the iPhone 12 has a more expensive OLED panel in the screen instead of an LCD, and the A14 processor is both larger and made with a newer and more expensive process.

Sales prices have risen 14% in the United States, and Counterpoint estimates that Apple has made cost savings elsewhere. The cost of distribution is not included in these calculations and has also decreased as the packaging has shrunk and the phone has fewer accessories.

Read: Which power adapter do I need for an iPhone 12?

This article originally appeared on Macworld Sweden. Translation by Karen Haslam.

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