Processors Make Up Nearly Half of Flagship Phones' Cost Now
MediaTek’s new Dimensity 9600 Pro is reportedly significantly more expensive than its predecessor, reflecting the rising cost of next-generation 2nm smartphone chips.
According to a report from Taiwanese outlet TaiSounds (also known as Tai Pao), the Dimensity 9600 Pro could cost as much as $220 per chip.
That would make it MediaTek's most expensive flagship SoC to date.
For comparison, the previous-generation Dimensity 9500 reportedly cost between $180 and $200.
MediaTek is not alone in raising flagship chip prices.
Qualcomm’s competing Snapdragon 8 Elite Gen 6 Pro is reportedly priced at around $300 per chip, while Apple’s A20 Pro is said to cost close to $280.
The higher Dimensity 9600 Pro price therefore reduces the usual pricing gap between MediaTek and Qualcomm at the premium end of the market.
MediaTek recently unveiled the Dimensity 9600 Pro as its latest flagship mobile processor.
The chip is manufactured using TSMC’s 2nm process and contains more than 33 billion transistors.
MediaTek Vice President and General Manager of the Wireless Communications Business Unit Hsu Ching-Chuan pointed to the higher cost of the 2nm manufacturing process.
He also said MediaTek is working with partners to reduce the physical size of memory chips and develop related technologies to help control overall system costs.
MediaTek is positioning the Dimensity 9600 Pro for premium smartphones, with the first devices using the chipset expected to arrive in the coming weeks.
The increase in chip pricing could put additional pressure on the final retail prices of phones using the platform.
At the same time, the higher cost reflects broader industry spending on advanced manufacturing and on-device AI capabilities.
The Dimensity 9600 Pro therefore follows a wider trend across the smartphone industry, where moving to 2nm processors is making flagship chips more expensive across the board.
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