There is no doubt that iPhones are popular not only because of their features but also because of their prices. The world’s top-selling flagship phones are anything but cheap. It is expected that you would pay a premium for high-end features like a powerful processor, a high-quality OLED screen, and an impressive camera. Apple seems to have a different experience than users when it comes to these high costs. A successful negotiation resulted in Apple paying only $4 for the periscope lens for the upcoming iPhone 15 Pro Max.
Apple’s iPhone 15 Pro Max will feature a periscope lens, which is expected to provide the telephoto lens with greater optical zoom. This device is capable of at least 10x zoom, far exceeding the 3x maximum available on the iPhone 14 Pro and Pro Max. By using a prism to bend light 90 degrees, this advanced lens design solves the depth limitations of smartphone cameras.
According to Kuo’s report, Apple has negotiated a deal with Largan to supply the periscope lens for $4, a price that barely allows the supplier to break even. The market consensus is for the component to cost between $4.5 and $5. The iPhone 15 Pro Max periscope camera will be supplied solely by Largan despite razor-thin margins.
Apple has previously pitted Largan and Genius against one another in order to secure the best pricing on iPhone camera lenses. Despite the heavily discounted price, Largan has secured all periscope lens orders this year. Genius is also expected to provide the periscope lens for the iPhone 16 next year, potentially reducing component costs further.
Apple’s ability to maintain its profit margins and to provide leading-edge technology to its customers depends not only on its engineering prowess but also on its ability to negotiate with suppliers.
