Why The Apple iPhone 8 Will Cost $1000

Various reports coming in from sources like the Goldman Sachs, Nikkei, Fast Company and KGI securities suggest a rather surprising feature of the iPhone 8. Popular Apple Analyst, Ming-Chi Kuo, and all the other sources claim that Apple will start the pricing for the iPhone 8 from a price of $1000.

Simply because no iPhone has ever been this expensive to build. According to various reports, the long-time Apple parts manufacturer TPK Holdings has quoted a higher price for integrating 3-D touch functionality into the latest iPhone. The company has reportedly quoted a 2.5x higher price than normal for integrating 3-D touch into the device, and Apple seems to have accepted the offer.

Why is there a sudden increase in manufacturing cost you ask? Well, it's basically because of the OLED panel that Apple has decided to go for instead of the retina display this year. According to a statement by the Economic Daily Times, "The solution directly bonds 3D Touch sensors on LTPS TFT-LCD display panels of the iPhone, but 3D Touch solution for OLED panels entails bonding of a glass cover on the front and back side of an OLED panel each to reinforce the fragile OLED panel"


Apart from this, the addition of an OLED display has increased the manufacturing cost of the new iPhone by $35 while new memory and new 3D sensing technology have resulted in an increase of around $50.

If we take other features like wireless charging, touch id integrated display etc. It is evident that the new iPhone will cost more than a $1000. It remains a matter of time to see as to what Apple plans to go for, this year in June on WWDC.

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