Skip to main content

4G LTE implementation is expensive: Will the iPhone 5 have it?

verizon-4g-lte-expensive
Image used with permission by copyright holder

From a cost-to-build perspective, the HTC ThunderBolt may be the most expensive phone on the market thanks to its pricey 4G LTE chipset, reports IHS. The cost of the 4G amplifiers, power management, chipsets, etc come out to $39.75, boosting the total cost of the ThunderBolt to $262–a new record.

While we can understand why HTC might bear the bill to have the first 4G LTE handset, we must note that it didn’t come without a price hike for consumers. The ThunderBolt costs $249 with a two-year contract, about $50 higher than smartphones a year ago, meaning consumers are paying for the price of 4G before a single 4G data bill comes in the mail.

With that said, will Apple take a hit and implement 4G in its upcoming iPhone 5? The price of the Verizon iPhone 4 is $171.35, meaning that if Apple chooses to add a similar chipset to the ThunderBolt, it could drive up the cost of the phone to $211.10, and that’s assuming the Cuppertino manufacturer hasn’t made any other expensive design or functionality decisions.

“It remains to be seen whether the next Apple iPhone set for introduction in September will support 4G LTE,” said Wayne Lam, senior analyst for IHS. “However, if it does, two things are clear. First, the iPhone’s minuscule printed circuit board (PCB) will have to grow in size in order to support the first-generation LTE baseband processor as well as all the supporting chipset. Second, the next iPhone’s BOM value certainly will increase substantially compared to the iPhone 4 if LTE is implemented in the same manner as in the HTC ThunderBolt.”

So far, Apple has not publicly stated it is pursuing 4G LTE connectivity for its next iPhone. In fact, it has done the opposite. In April, COO Peter Oppenheimer told investors that Apple isn’t ready to jump on board with LTE: “The first generation of LTE chipsets forced a lot of design compromises with the handset, and some of those we are just not willing to make,” he said.

Stepping back a bit, by the time Apple announces the iPhone 5, there will be four LTE phones on Verizon Wireless, which is currently the only wireless carrier in the United States with its LTE network launched and running. The Samsung Droid Charge, Motorola Droid Bionic, HTC ThunderBolt, and LG Revolution represent some strong Android competition to Apple, but all have been somewhat criticized for the tradeoffs they’ve made to incorporate 4G LTE so early, with problems like a lack of dual-core processors, short battery life, crazy glitches, and dropped calls. On top of that, AT&T’s 4G LTE network won’t be operational until later this year, at the earliest.

While there are new all-in-one chips coming to the market that could give Apple the ability to have 4G, GSM, and CDMA connectivity in one phone, the cost may be too high. Apple waited a year on 3G. Who’s to say it won’t wait a year on 4G? The question is, can it afford to wait anymore without ceding critical ground to Android? We’re not so sure.

Editors' Recommendations

Jeffrey Van Camp
Former Digital Trends Contributor
As DT's Deputy Editor, Jeff helps oversee editorial operations at Digital Trends. Previously, he ran the site's…
Apple might cancel the iPhone SE 4 next year — and I’m glad
The Apple iPhone SE (2022) screen showing the keyboard.

Apple repurposed the iPhone 8 design with the iPhone SE 2 and iPhone SE 3 — and both of them did quite well. But folks have been itching for something new. According to previous reports this year, Apple was looking to redesign the next iPhone SE, with a launch set for 2023.

For the unaware, the "redesign" in question was supposed to be based on the iPhone XR's design. But it looks like the company has shelved its plans to launch the iPhone SE 4 next year. According to analyst Ming-Chi Kuo, Apple is expected to cancel or at least postpone the iPhone SE 4 until 2024.
Why there won't be an iPhone SE 4 next year

Read more
The 5 worst iPhones of all time
The Apple iPhone SE (2022) and Apple iPhone SE (2020) together.

Apple debuted the original iPhone in 2007, and we’ve come a long way, as demonstrated by 2022's iPhone 14 lineup. There are 38 total iPhones that have come out in 15 years, and more coming with each year that passes.

But as great as the iPhone is as a whole, it’s never perfect. Some iPhones are clear winners ... while others have been big flops. Here are five of the worst iPhones of all time, and a look at how they made this list.
iPhone 4
You’re holding it wrong
Steve Jobs shows off the iPhone 4 at the 2010 Worldwide Developers Conference. Wikipedia

Read more
5 Android camera features that I need to have on my iPhone
iPhone 14 Pro and Google Pixel 7 Pro.

One of my favorite things to do with my iPhone 14 Pro is to take photos. Whether it’s part of my attempt to be artsy by snapping spontaneous moments with my husband and daughter, or just capturing the magic at Disneyland, I have a ton of photos. Though I don’t have time to edit every single one, I do like to spend time making edits on my favorites just to improve how they look before I post them on social media. But the built-in tools on the iPhone for taking photos and editing them are, well, lacking.

I’ve been testing a few different Android devices since I joined Digital Trends, and let me tell you — it’s been a trip. I’ve discovered so many new photo and camera tools on various Android devices that just show how much Apple is behind in that regard, despite being one of the most popular devices for mobile photography.

Read more