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this post was submitted on 17 Aug 2023
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The manufacturing cost of the SoC in my phone is not at all at the top of the bill of materials. You could double the price of the SoC (or reduce TSMC manufacturing efficiency in half) and the price would go up by $50-80 at most. And I'm talking about top of the line SoCs like the Apple Bionic and Snapdragon 8 series. There won't be a significant market disruption if this happened. There's already an estimate of the increased cost of production in the US and it lies around 50% over the Taiwanese cost, so it's not even close to the above. That's $25-40 per top of the line phone extra.