Mid-range iPhones do not have the latest Apple chips

Earlier this year, an interesting report by acclaimed analyst Ming-Chi Kuo revealed that Apple may keep the new A16 chip exclusively for iPhone 14 Pro models, while regular iPhone 14 models will get last year’s A15 chip. In a new report, Kuo has now claimed that entry-level and mid-range iPhone models will not include Apple’s latest chipset in the future as the company changes its business strategy.

iPhone 14 with A15 chip

Apple is expected to announce four new iPhone models this year: iPhone 14, iPhone 14 Max (a larger 6.7-inch version that will replace the iPhone mini), iPhone 14 Pro and iPhone 14 Pro Max. While the regular iPhone 14 models will retain the same design as the iPhone 13 with minimal internal upgrades, the Pro Series will get more attention with the new screen design and the major camera upgrades.

This would not be the first time Apple has retained major upgrades, such as a new design exclusive to advanced iPhone models. In 2017, the iPhone X was introduced with a brand new design, Face ID and other new technologies, while the iPhone 8 and iPhone 8 Plus were simply better versions of the iPhone 7.

However, the iPhone 8 and iPhone X were both powered by the same A11 Bionic chip. Apple followed this strategy in the following years with the iPhone XR, iPhone XS, iPhone 11, iPhone 11 Pro, etc. Now it looks like things will change.

According to Kuo’s report, both 9to5Mac And Bloomberg Independent sources confirmed that only two of the four iPhone 14 models will receive a new, faster chip. While some analysts believe that Apple will use a more powerful version of the A15 chip with 6GB of RAM instead of 4GB in the new phones, the architecture will be the same as in the iPhone 13 chipset.

At first we thought this would be a temporary move due to the lack of global chips, but now Kuo seems to think otherwise.

New business strategy

In a report on his personal blog, Kuo noted that the huge differences between the mid-range iPhone 14 and the advanced iPhone 14 Pro should make the more expensive models more popular with consumers. While the iPhone 14 Pro was previously expected to account for 40% to 50% of new model sales by the end of 2022, the estimate has now been raised to 60%.

But here’s something that has not been said before: Kuo now claims that Apple’s latest chips will be exclusive to advanced iPhone models from now on. In other words, the analyst believes that Apple will no longer release entry-level and mid-tier iPhone models with its latest and greatest chips.

By keeping the new processor for more expensive iPhone models, more people will buy it instead of cheaper, which increases the average iPhone price. That means Apple’s profits from iPhone sales will be even higher. Of course, Kuo also notes that this also benefits camera vendors for advanced iPhones.

The latest processor chip will be exclusive to high-end iPhone models in the future, so high-end iPhone models will be the norm, and suppliers of high-end camera components will be preferred.

If true, it looks like the days of having an entire iPhone series with the same new chip are over. On the other hand, this was not surprising as Apple did something similar with its iPad series. More expensive models are equipped with the same chips as Macs, while cheaper iPad models remain with iPhone chips.

iPhone 14 launch and availability

If all goes according to plan, Apple is likely to introduce the iPhone 14 and iPhone 14 Pro in September. Please note that availability may be limited at launch due to delivery issues.

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