- The iPhone 18 is expected to feature a next-gen A20 chip, potentially leading to a significant price increase.
- Apple’s chip lineup is evolving, with the iPhone 18 set to use a 2nm process, while the iPhone 17 will stick with the 3nm A19 chip.
- Price hikes for the iPhone 18 could also be influenced by Trump’s tariffs on Chinese imports.
Not that the iPhone 18 is going to launch anytime soon. Of course, we’ll first be seeing the iPhone 17 series unveiled globally this fall. While most should keep an eye on the iPhone 17, which is expected to start at $800 like the iPhone 16, a new leak suggests that the iPhone 18 could push the base price to a whole new level.
That’s because the upcoming iPhone 18 series is expected to feature the next-generation Apple A20 chipset, which will be built using TSMC’s advanced 2nm process.
For those unfamiliar with chip manufacturing, terms like “3nm” and “2nm” refer to different architectural standards. As the number decreases, the transistors become smaller, allowing more of them to fit on a single chip. This results in faster processing and better efficiency, which means the iPhone 18 would perform better in those areas.
Here’s a breakdown of Apple’s current and upcoming chips:
- iPhone 15 Pro models – A17 Pro chip (3nm, TSMC’s first-generation 3nm process, N3B)
- iPhone 16 – A18 and A18 Pro chips (3nm, TSMC’s second-generation 3nm process, N3E)
- iPhone 17 series – A19 and A19 Pro chips (3nm, TSMC’s third-generation 3nm process, N3P)
- iPhone 18 series – A20 and A20 Pro chips (2nm, TSMC’s first-generation 2nm process, N2)
However, this technology isn’t cheap yet. The cost of this chip could ultimately be passed on to consumers. While Apple’s in-house chip sourcing, compared to companies that source from Qualcomm, helps keep costs in check, next year’s iPhone could still see a price hike across the entire series.
Rumors about Apple’s first 2nm chip have been circulating for some time now. Analyst Ming-Chi Kuo recently suggested that the 2nm chip could be reserved for the Pro models, so we might only see it in the iPhone 18 Pro and Pro Max. However, we don’t expect this to happen, considering that the previous generation of iPhones used the same technology across the entire lineup.
To give you an idea, the A18 chip in the iPhone 16 is built using 3nm technology. Both the A18 chip and its Pro variant utilize TSMC’s N3E (3nm) technology. The iPhone 17 is expected to use the A19 chip, which will again be based on third-generation 3nm technology known as N3P.
While the iPhone 17 will offer a significant upgrade over the iPhone 16 lineup, the 2nm-based iPhone 18 is expected to be a huge leap in terms of performance. It’s also rumored to come with 12GB of RAM as standard, a major upgrade over the 8GB of RAM in the iPhone 16. However, we’re still 1.5 years away from the launch, so details remain scarce.
The price increase for the iPhone 18 might not be solely due to the chip, though. The recent wave of tariff changes under the Donald Trump-led U.S. government on Chinese imports could further raise the cost of manufacturing. These tariffs could add an additional layer of expense, making it even more likely that the iPhone 18 will come with a higher price tag.
To compete with Apple, Qualcomm is developing two new 2nm chips slated for launch in 2026. These chips could be manufactured by either Samsung or TSMC. We’ll have to wait and see how this unfolds.
