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How Much Apple will have to Spend for Each 5G iPhone?

The entire sum that Apple will have to pay for the 5G technology packed inside it will add up to approximately 21$.

The 5G patents owned by Nokia were announced to be sold to Apple for 3 Euros per device. Ericsson, on the other hand, requests royalties from 2.5 to 5 dollars, depending on how much the respective device will retail for.

On the other hand, Qualcomm decided to request 2.275% of the price of the devices for single sim phones and 3.25% of the retail price of dual sim phones. However, they did state they would have a limit for requesting royalties from a maximum device price of 400$.

Qualcomm and 5G iPhone

All things considered, Qualcomm will probably receive around 13$ for any device, therefore pushing the total of royalties spent for 5G technology to about 21$ when all other necessary components come into consideration.

So far, different companies still have to close deals for working together and making the technology more accessible, but the 21$ price for each device seems to be lower than the one paid by Apple for each 4G phone they’ve sold.

Apple’s differences with Qualcomm are yet to be settled, with many lawsuits filed from one company against another. Apple was the first to complain, suing Qualcomm for 1 billion dollars for abusing its power as the most powerful chip builder and demanding unfair prices. The defender responded in April of this year and the two giants have been calling each other to court multiple times since, Qualcomm even convincing other manufacturers to join against Apple.

In 2018, Apple wants a change. All the communication chips that Apple will use will come from Intel. It’s almost sure that no 5G technology will come with the iPhones that will be launched this year because the standard only appeared in June and service providers in the USA haven’t yet provided the proper coverage for it anyway.

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