It was obvious that Apple would be affected in some manner by the worldwide chip shortage. There is no alternative if you must pay more for them, or if your supply runs out. And it’s even worse if you rely on a single ARM processor maker, such as TMSC.
Due to a chip shortage, Apple’s future devices may see a notable price increase.
The iPhone 13 might be spared the hike, as they are closed purchases for months, but it is clear that the new processor contracts that Apple is presently signing have a much higher purchase price than last year, if you want to ensure you have chips to assemble in your next releases. And that cost overrun will be reflected in the device’s final price.
According to Nikkei Asia, the next Apple products will have a higher price premium owing to the greater CPU cost. The worldwide chip scarcity is to blame.
Due to a lack of processors on the market, Taiwan Semiconductor Manufacturing Company (TSMC), Apple’s main processor supplier, will significantly raise the price of its processors. It appears that it will be the largest price increase in a decade for Apple’s processors. The news is not good for Apple, to say the least.
From now on, because of the rise in TMSMC chip prices, AMD’s processors will be more expensive than their rivals. The company plans to invest more than $100 billion over the next three years to expand manufacturing facilities, which will have a long-term impact on its products’ pricing.
The new pricing will apply to orders that are closed on or after October 1, according to the report, which means “in theory” the assemblers of the iPhone 13 are exempt from the increase. We’ll see.
