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5G connectivity on the iPhone could cost Apple up to $21 for each phone sold

VentureBeat

The quantitative and qualitative leap in connecting devices is going to be huge, however, manufacturers have yet to implement it. There are still no rumors of the arrival of the iPhone, but it is clear that Apple will have to pay to implement this technology .

5G connectivity on the iPhone could cost Apple up to $21 for each phone sold
5G connectivity on the iPhone could cost Apple up to $21 for each phone sold

According to a new study by VentureBeat, adding 5G to the iPhone could cost Apple about $21 per device. For the price of the components? Also, but mainly because of the patents it would have to make use of. The 5G technology has been developed by multiple technology companies , which will now recover the investment made by licensing it to other manufacturers.

Nokia for example, in its glory years, was one of the companies that researched 5G technology . Now they have decided that the estimated price for each device using their patents will be $3.48. It is not the only one, another old glory of the past like Ericcson will charge between 2.5 and 5 dollars per device, depending on the price of it. And then we have Qualcomm, which will impose a commission of 2.275% of the final price of the device that uses their patents.

Adding these commissions and those of other manufacturers that have licenses for 5G connectivity, VenutreBeat estimates that each iPhone will cost Apple about $21 just for 5G licenses . These are estimates, it remains to be seen when Apple decides to implement this technology and what exact patents it uses from other companies. On the other hand, large-scale production could benefit from discounts.

A $21 more expensive iPhone?

No. In principle these types of costs are directly included in the final price of the product. Currently Apple already pays for patent licenses on the current iPhone, also other companies and also Apple for using their patents. The world of technology licensing is a whole web in which commissions flow from one company to another.

How will it affect the end user? In principle should not have a direct impact . These licenses are distributed in a mutual agreement between the companies that commit themselves not to abuse their patents in order to maintain a responsible and non-discriminatory development of the industry. In any case, we will have to wait for the signs of a first iPhone with 5G to appear for the time being.

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