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Apple looks to cut iPhone component costs to offset high price of 5G parts, report says

For example, it'll go with different battery technology and use a simpler and smaller design, says an analyst note.

Ian Sherr Contributor and Former Editor at Large / News
Ian Sherr (he/him/his) grew up in the San Francisco Bay Area, so he's always had a connection to the tech world. As an editor at large at CNET, he wrote about Apple, Microsoft, VR, video games and internet troubles. Aside from writing, he tinkers with tech at home, is a longtime fencer -- the kind with swords -- and began woodworking during the pandemic.
Ian Sherr
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Apple is expected to include superfast 5G wireless technology in its next iPhone, rumored to be announced Sept. 10. But that higher speed will come at a higher component cost, says a new report, so Apple is finding other ways to even out the price of its parts to make up the difference.

An analyst note from Ming-Chi Kuo, reported earlier by MacRumors, says Apple has chosen to change technology for its battery, for example, and use a simpler and smaller design. Apple didn't immediately respond to a request for comment.

Apple's reported efforts to reduce its internal component costs underscore the price of major technological changes, such as from 4G-capable devices to those that work with 5G. Though 5G's promised value includes wireless network connections 10 to 100 times speedier than what we use today, 5G forces smartphone makers to use different chips that feature new technology that makes those fast connections possible.

Watch this: Here's the role that 5G plays during the coronavirus pandemic