How much will the iPhone 8 cost? A lot more than the other iPhone models. Leaks and rumors have indicated that the phone would bring many new technologies along with a new design. These new features are expected to significantly increase the iPhone 8 price tag. A Foxconn VP said on Chinese social media that the iPhone 8 would not be cheap. Well, no iPhone is “cheap,” but the upcoming model will cost much more than other models.

Apple iPhone 8 Price Tag
Image Source: Guilherme Rambo / Twitter (screenshot)

Low OLED yield rates to push up the iPhone 8 price tag

Foxconn vice-president Luo Zhongsheng said in a post on Chinese microblogging site Weibo that the 10th anniversary iPhone’s special design has led to a huge decline in the yield rates of OLED displays. Various leaks, including the HomePod firmware, have confirmed that the iPhone 8 would have an all-front display with no bezels. There will be a small cutout near the top to accommodate the ear speaker, front camera, and other sensors.

Zhongsheng said the special panel has brought down the OLED yield rates to 60% (or 40% failure rate). The Foxconn executive has since deleted the post, but not before MyDrivers had taken a photo of it. Zhongsheng also confirmed that Samsung Display was producing OLED panels for the iPhone 8. Given the high manufacturing costs, the 10th anniversary iPhone will not be sold cheaply.

How much will the iPhone 8 cost?

Foxconn is Apple’s biggest manufacturing partner. It is too early to say how much the iPhone 8 would cost. Many speculate that it will be the first iPhone to cost more than $1000. Others say the iPhone 8 price tag could go as high as $1400 for the highest storage variant. The current iPhone 7 Plus already sells at $969 for the 256GB storage option.

Though all new features and components will add to the iPhone 8 price, there are certain parts that will be far more expensive than the others. For example, DigiTimes has learned from its sources that TPK Holdings would charge $18-$22 per unit to integrate 3D Touch into the iPhone 8’s OLED display. That’s more than double the $7-$9 it currently charges per unit for the iPhone 7 and 7 Plus. The increase in cost is attributed to a more complex technology.

Goldman Sachs analysts estimate that the OLED display with top cutout would alone add $35 to the phone’s manufacturing costs. The upgraded memory is estimated to add $16-$29 to the bill of materials, and the 3D sensing module will add another $20, according to Goldman Sachs. Apple will pass on the added costs to consumers. Apple is not known for compromising on its profit margins.

Reputed Apple blogger John Gruber claims the iPhone 8 price tag would be $1200 for the entry-level model. The most expensive variant could cost as much as $1400. If true, the 10th anniversary iPhone will be Apple’s most expensive smartphone till date. The Cupertino company will also unveil two other devices, iPhone 7S and 7S Plus, next month alongside the iPhone 8.

iPhone 7S and 7S Plus could do better than expected

The iPhone 7S and 7S Plus would be a minor upgrade over last year’s models. These devices are said to pack a faster processor and better camera. However, recently leaked images suggest that the iPhone 7S and iPhone 7S Plus would feature a glass back to support wireless charging. If it turns out to be true, wireless charging won’t be exclusive to the iPhone 8.

Considering the scarcity of iPhone 8 during the holiday period due to technical issues and its ridiculously high price tag, the iPhone 7S and 7S Plus could end up selling much better than many expected. While the iPhone 8 would sell at above $1,000, the other two variants will be available at an affordable price tag and will have wireless charging capabilities.

Will there be a copper-gold iPhone 8?

Meanwhile, photos of the iPhone 8 have surfaced on Chinese site Weibo. The photos show the device in three color options: black, white, and a new copper-gold variant. There is no official information on the iPhone 8 colors. the images are not high-resolution, and we know that lighting could affect a phone’s color. The copper-gold variant could be a color-distorted casing or actual copper-gold. Difficult to say.

KGI Securities analyst Ming-Chi Kuo has predicted that the iPhone 8 would be sold in fewer color options that the current iPhones to maintain its “boutique image.” However, Kuo did not specify the colors.

A few days ago, Apple released the HomePod firmware, which contained the design of the iPhone 8 front panel. It confirmed the previous rumors about the phone’s bezel-less display with a top cutout. The iPhone 8 would sport a 5.8-inch OLED screen in a form factor similar to the iPhone 7. The HomePod firmware also included references to an infrared sensor for facial recognition within the BiometricKit framework. Apple referred to the facial recognition technology as “Pearl ID.” It is not yet known whether Pearl ID would aid Touch ID fingerprint sensor or replace it.