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Apple’s iPhone 18 Pro Models to Feature Costly 2nm Chips

TSMC’s advanced 2nm manufacturing process will debut in Apple’s A20 chip, potentially driving up iPhone 18 prices due to higher production costs and new U.S. tariffs.

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Overview

  • Apple's iPhone 18 Pro and Pro Max models will exclusively adopt TSMC's cutting-edge 2nm A20 chip, offering significant performance and efficiency gains.
  • The estimated $30,000 cost per 2nm wafer is expected to increase production expenses, which may lead to higher retail prices for the iPhone 18 series.
  • New U.S. semiconductor tariffs under consideration could further impact Apple’s pricing strategy for its next-generation devices.
  • TSMC has begun scaling up production capabilities with new facilities to meet anticipated demand for 2nm chips by late 2025.
  • Analysts suggest that the high cost of 2nm technology will limit its use to premium models, with standard iPhone 18 variants continuing to use 3nm processors.