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iPhone 18 Pro Predicted to Have Big Price Hike in 2026 Due to 2nm Chips

2024-12-09

It has been widely reported that all five iPhones set to be released next year, including the first to arrive, the iPhone SE 4, will continue to utilize chips manufactured using the 3nm process by TSMC. However, many analysts predict a significant shift in 2026, with some iPhone 18 models adopting 2nm chips. This transition comes with a notable cost increase, as a new report from Taiwanese news site Ctee indicates that Apple will pay TSMC an additional $35 per unit, bringing the total cost to $85 per iPhone.

Cost Implications and Considerations

Although $35 may not seem like a substantial amount initially, it is important to consider two key factors. Firstly, this represents a 70% increase from the current cost of $50. Secondly, and more importantly, this increase is just what Apple will pay. For consumers, it is highly likely that the price will rise by a much larger margin. This can be inferred from past data, as shown by the profit margins on previous iPhone models. For example, on the iPhone 15 family, the profit ranges from 47% on the iPhone 15 to 53% on the iPhone 15 Pro Max. Therefore, a $35 increase for Apple is likely to translate to at least a $50 increase for consumers, and potentially even more.

Despite the added cost, the shift to 2nm chips is expected to bring significant benefits. Smaller transistors allow for more to be packed onto a chip, enhancing both speed and efficiency. This could lead to a more seamless user experience and improved performance across various applications.

However, it remains uncertain whether all iPhone 18 models will benefit from the 2nm chipset. In the past, Apple typically used the same chips in all its phones until the iPhone 14. After that, it started offering faster chips to the Pro models while providing older silicone to the regular models. It is possible that similar strategies will be employed with the iPhone 18, with the cheaper models continuing to use 3nm chips to keep costs down. This is in line with the expectations of analyst Ming-Chi Kuo.

Rumors and Speculations for the iPhone 18

Beyond the discussion of 2nm chipsets, there are very few rumors available about the iPhone 18 at this early stage. There is talk of under-screen Face ID, which could potentially lead to the end of the Dynamic Island feature. However, it is also possible that such features may be delayed or even abandoned.

The iPhone 17 lineup, on the other hand, is starting to take shape nicely. One of the most exciting developments is the potential introduction of a new thinner model, either the iPhone 17 Slim or iPhone 17 Air. This will join the existing roster and may come at the expense of the struggling iPhone 16 Plus. However, it is likely to come with a higher price tag that may not be affordable for all buyers.

Stay tuned to Tom’s Guide for the latest updates on iPhone releases and technological advancements. We bring you the hottest deals, best product picks, and the latest tech news from our experts.

Uber, the renowned ride-hail giant, finds itself at a crossroads as California imposes new regulations. With 30 days to act, Uber must decide whether to require certain drivers to get fingerprinted if it intends to continue transporting unaccompanied teens in the state. This decision has sparked a heated debate and has far-reaching implications for both Uber and the safety of California's youth.

Ensuring Safety for Unaccompanied Teens - The Uber Dilemma

Background: The California Public Utilities Commission's Ruling

Thursday saw the California Public Utilities Commission issue a ruling that demands taxi and ride-hail drivers carrying unaccompanied minors in the state to pass a fingerprint background check. Not only that, but transport companies are also obligated to cover the cost of these background checks. This is a significant shift from Uber's previous stance of fighting against such fingerprint-based requirements.

Uber has a long history of resisting such measures. Seven years ago, it and Lyft blocked a similar effort in California. The company argued that its current name-based background checks and other safeguards were sufficient. However, when it comes to the safety of unaccompanied minors, these arguments seem to fall short.

The Importance of Fingerprinting for Unaccompanied Teens

"When an adult is tasked with providing a service to a minor, they are placed in a position of trust and responsibility over California's most vulnerable citizens - children," reads the decision. Failing to conduct a fingerprint-based background check to identify adults with disqualifying arrests or criminal records could put unaccompanied minors in potentially dangerous situations.

Uber launched Uber for Teens in February 2024, allowing teens aged 13 to 17 to hail a ride without a parent or guardian. But since then, the CPUC has sent a warning letter, strongly recommending that Uber stop the service until the 2016 rulemaking around background checks could be resolved. In March, Uber asked for clarity on the rule, specifically the part regarding businesses primarily involved in transporting minors.

Uber's Stance and Arguments

Uber claims that its own name-based screening system via Checkr, along with safety features like live trip tracking in Uber for Teens, is adequate to keep riders of any age safe. The company also asserts that it only pairs the most experienced and highly rated drivers with teens. However, this has been challenged by accusations of not taking enough steps to protect riders from dangerous situations, including child trafficking.

In July, two families in South Carolina sued Uber, alleging that the company allowed their teen daughters to be taken across state lines to a predator's home, where one of the girls was sexually assaulted. This incident has added fuel to the fire and raised concerns about Uber's safety measures.

The Impact on Uber and HopSkipDrive

The CPUC's ruling is bad news for Uber, which launched Uber for Teens in California. But it is good news for HopSkipDrive, a startup that provides a ride-sharing service for kids and advocated for this ruling. HopSkipDrive refers to its drivers as "CareDrivers" and ensures they have caregiving experience and go through a 15-point certification, including a fingerprint-based background check.

The CPUC's ruling also requires transport companies to share information with the agency on various aspects such as live trip tracking for parents, safety procedures at pickup and drop-off locations, and driver training around transporting unaccompanied minors. Each company is responsible for paying for the checks, a stipulation that Uber has opposed, arguing that it would lead to a price hike for the Uber for Teens service.

HopSkipDrive, on the other hand, pays for the cost of fingerprint checks for its drivers. The Commission has emphasized that if small transportation network companies like HopSkipDrive can cover these costs, Uber should do the same.

AUSTRAC, the Australian regulatory body, is making significant moves to address the issue of cryptocurrency ATM providers not adhering to the country's anti-money laundering regime. With the rise in cryptocurrency usage, there is an increasing concern about its potential for criminal exploitation. AUSTRAC has established an internal cryptocurrency taskforce to ensure that digital currency exchanges providing crypto ATM services meet the necessary standards and have robust practices in place.

Why AUSTRAC is Taking Action

AUSTRAC intelligence clearly shows that cryptocurrency poses a heightened money laundering risk. It is being increasingly exploited for various illegal activities such as money laundering, scams, and money mule operations. To combat this, under the Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) Act 2006, DCEs including those providing crypto ATM facilities are required to register with AUSTRAC and fulfill certain obligations. These include undertaking transaction monitoring, completing know your customer (KYC) information checks on customers, reporting suspicious activity in suspicious matter reports (SMRs), and submitting threshold transaction reports (TTRs) for cash deposits and withdrawals of $10,000 or more.AUSTRAC CEO Brendan Thomas emphasizes the importance of compliance. He states that as cryptocurrency use grows, so does the potential for criminal exploitation. The taskforce's focus is to eliminate non-compliant high-risk operations. Crypto ATM providers must ensure they are meeting their money laundering obligations and reducing the risks of crime. Ignoring these obligations can lead to significant financial penalties, and AUSTRAC will not hesitate to take action.Currently, there are approximately 400 digital currency exchange providers registered with AUSTRAC. Although only a small number operate crypto ATMs, Australia has 1200 operating crypto ATMs, ranking third globally. Those crypto ATM operators that do not comply with their AML/CTF obligations could face enforcement action.Members of the public who suspect fraud or scam activity when using a crypto ATM are advised to report it directly to the police and to the National Anti-Scam Centre's Scamwatch or the Australian Cyber Security Centre's ReportCyber.

Transaction Monitoring and KYC Checks

Transaction monitoring is a crucial aspect of AUSTRAC's regulations. By closely monitoring transactions, they can identify any suspicious activities that may indicate money laundering or other illegal operations. KYC information checks on customers are also essential to ensure that the providers have a clear understanding of their customers and can detect any potential risks. These checks help in building a comprehensive profile of each customer and enable providers to take appropriate actions if any red flags are raised.For example, imagine a crypto ATM provider that fails to conduct proper KYC checks. This could lead to criminals using the ATM to launder money or engage in other illegal activities without detection. However, with strict transaction monitoring and KYC procedures in place, such risks can be significantly reduced.

Reporting Suspicious Activity

Reporting suspicious activity is a vital part of the AML/CTF regime. Crypto ATM providers are required to report any suspicious matter reports (SMRs) promptly to AUSTRAC. This helps in detecting and preventing criminal activities at an early stage. By sharing this information, AUSTRAC can take appropriate actions and collaborate with other regulatory bodies to combat crime.For instance, if a customer makes a large number of transactions in a short period or shows unusual behavior, the provider must report it as suspicious. This could prevent a significant amount of money from being laundered through the crypto ATM system.

Mitigating Risks and Ensuring Compliance

Crypto ATM providers need to go beyond just meeting the legal requirements. They must actively work towards mitigating risks and ensuring compliance with all regulations. This includes implementing robust internal controls, providing training to staff, and staying updated with the latest regulatory changes.By taking a proactive approach, providers can not only avoid penalties but also contribute to the overall integrity of the cryptocurrency market. For example, a provider that invests in advanced security technologies and regularly audits its operations is more likely to detect and prevent potential risks.In conclusion, AUSTRAC's efforts to crack down on non-compliant cryptocurrency ATM providers are crucial in safeguarding the financial system and combating criminal activities. By enforcing strict regulations and working closely with the industry, they are taking significant steps towards reducing the criminal use of cryptocurrency in Australia.