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Here’s the real reason why the iPhone 8 will be so damn expensive

The iPhone 8 is set to launch next week, with pretty much everyone expecting it to be Apple’s most expensive phone ever – and apparently it’s the device’s snazzy new OLED screen that’s to blame.

At least, that’s the new gospel according to the latest research note (H/T Apple Insider) from generally upstanding Apple analyst Ming-Chi Kuo, who says that the iPhone 8’s (or should that be iPhone Edition‘s?) predicted design overhaul comes at a cost.

According to the pundit, Apple will be paying between $120-130 (around £90-100) per OLED screen to equip its next iPhone with an improved display – a hefty leap from the $45-55 (~£30-40) unit price of the older screens found on last year’s iPhone 7 and iPhone 7 Plus.

Kuo concluded that Apple “is in urgent need of finding a second source of OLED,” as it’s currently tied to buying the screens from rival tech giant Samsung.

So why OLED? Well, OLED technology offers a number of benefits compared to LCD, including more efficient power management, deeper blacks and quicker response times.

Crucially when it comes to the new iPhone’s design, the fact that OLED doesn’t require backlighting means that OLED panels are generally thinner than their rivals – something which should allow Apple to achieve a near bezel-free design with the iPhone 8.

All of which ultimately contributes – along with other rumoured features like facial recognition technology – to the iPhone 8’s expected Herculean price tag.

The latest and greatest handset from Cupertino is expected to cost as much as $1000 – and maybe even more for versions with larger storage capacities. That’s roughly £770, but don’t expect to get off that easy, as by the time the taxman has had their say, we’d expect Apple’s next flagship to set you back at least £900.

Stay tuned, as all will be revealed on Tuesday September 12 – and we’ll be covering all the action live as it happens.

Related: OLED vs LED LCD

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