iPhone 16 and iPhone 16 Plus to Jump Straight to A18 Chip, Rumour Says

In recent years, Apple has employed a fairly transparent strategy to boost its average revenue per iPhone unit sold, which involves creating distinctions in features between the more affordable ‘vanilla’ iPhones and the pricier Pro models. This even extended to using older chipsets in the vanilla models to reduce costs and protect profit margins. However, a potential shift is on the horizon for next year. According to a research note from analyst Jeff Pu, who specializes in covering Apple and its supply chain, and is associated with Haitong International Securities in Hong Kong, all four iPhone 16 models are expected to be powered by A18 chip.

iPhone 16 and iPhone 16 Plus to Jump Straight to A18 Chip, Rumour Says

This represents a departure from the current lineup. The iPhone 15 and iPhone 15 Plus rely on the A16 Bionic chipset. Whereas, the iPhone 15 Pro and iPhone 15 Pro Max are equipped with the A17 Pro chip.

At first glance, it might seem like Apple is moving away from making chipset capabilities a primary selling point for its Pro line. However, this is not entirely accurate. All four models will utilize the A18 chip in 2024. It appears that the chip used in the iPhone 16 and iPhone 16 Plus will differ from the one used in the iPhone 16 Pro and iPhone 16 Pro Max. The latter will feature the A18 Pro, suggesting a more robust performance.

In essence, it’s possible that Apple is rebranding its chipsets to create the perception that the vanilla iPhones are closing the gap in terms of hardware specifications compared to their Pro counterparts. We are not sure about the exact differences between the A18 and the A17 Pro from this year’s Pro iPhones. Also, it will require further examination.

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TSMC will manufacture Both the A18 and A18 Pro by utilizing its “N3E” second-generation 3nm process. According to TSMC, this is more cost-effective and yields better results than the “N3B” process used for the A17 Pro.