[vc_row][vc_column][vc_column_text dp_text_size=”size-4″]Smartphones, laptops, and other electronics have become more expensive in recent years. This upward tendency can be ascribed to a variety of factors, including inflation, supply chain interruptions, and increased demand for advanced features.
Higher processing power appears to be a crucial role in the higher cost of various flagship phones. Surprisingly, Qualcomm is offering its current flagship Android CPU, the Snapdragon 8 Gen 2, for a greater price than the far more powerful rival Apple A16 Bionic.
$160 vs $110
Qualcomm is reportedly selling its Snapdragon 8 Gen 2 CPU to smartphone OEMs for $160 per device. This price is far higher than Apple’s A16 Bionic chip, which costs $110 per device to create.
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This pricing disparity means that Qualcomm costs its smartphone partners $50 more than Apple charges its partners for the A16 Bionic processor. This price discrepancy may result in increased prices for smartphones that use the Snapdragon 8 Gen 2 chip.
Qualcomm’s choice to charge a higher premium for the Snapdragon 8 Gen 2 CPU could be due to a number of factors. One option is that the corporation wants to maximise earnings by charging a higher price.
Another factor could be that Qualcomm believes its Snapdragon 8 Gen 2 CPU outperforms Apple’s A16 Bionic chip in terms of performance and functionality, therefore justifying the higher price.
Although an extra $50 per unit may not seem like much, when factoring in manufacturers’ profit margins, it can have a major influence. Because manufacturers add their own markups to the cost, Qualcomm’s higher price might result in significant hikes in the final price of devices that include the Snapdragon 8 Gen 2 CPU.[/vc_column_text][/vc_column][/vc_row]
