• Apple will reportedly use the next-generation 2nm manufacturing process for the A20 chipset, tipped for use in the iPhone 18 lineup.
• The chipsets will be sourced from TSMC, which has yet to attain mass production of 2nm chips
• No official confirmation is expected until 2026

It seems like we’ve only just settled into the iPhone 16 lineup’s tenure as the latest and greatest Apple smartphones, but we’re already seeing rumors that skip two generations ahead.

According to a report from Taiwanese news outlet Ctee (shared by notable leaker Jukanlosreve), Apple could be the first phone maker to adopt 2nm chipsets with the 2026 iPhone model.

The report also notes that the production plan for the so-called A20 chipset – which is expected to power the iPhone 18 series of phones – has been finalized.

The 2-nanometer A20 chipsets will reportedly be produced by Taiwanese manufacturer TSMC – and as the first Apple chipsets to use this next-generation production process, we’d expect to see major performance improvements.

However, the step up to the next generation of chipset could come with a price hike for consumers. As Jukanlosreve notes, the price of the application processor fitted to the iPhone 18 is expected to rise from $50 to $85 – an increase of 70%.

This is a substantial increase that could be passed on to customers if Apple isn’t willing to absorb the cost – this would be the first increase in the launch price of any iPhone since the iPhone 15 Pro Max was bumped up to $1,199 / £1,199 / AU$2,199 (albeit with a larger storage capacity as standard).

It’s not yet clear whether the new 2nm chipsets will ship with all iPhone 18 units, or, as Android Authority speculates, only the iPhone 18 Pro and iPhone 18 Pro Max.

In chip production, nm – short for nanometer – refers to the length of an individual transistor gate. The gate is the most basic part of a processor; the on or off state of a gate forms the basis for the binary code that powers all computing.

It tracks that the more gates you can fit onto a chip, the more processing power is attainable.

Though originally analogous to the actual distance between gates, the nanometer title is now more of a marketing term.

These new rumors land following news that TSMC has achieved a 60% yield on test runs of the 2nm manufacturing process – this percentage refers to the amount of non-defective semiconductors.

The company is aiming for mass-production of 2nm chips in the second half of 2025.

Apple has a history of early adoption for next-generation chipsets – the iPhone XS and XS Max were the first 7nm phones on the market, as was the iPhone 12 lineup for 5nm chipsets, and the company was quick to incorporate 4nm and 3nm chipsets in subsequent iPhone generations.

We don’t expect any official information about the iPhone 18 lineup until late 2026, so until then be sure to check out our iPhone coverage for the latest updates.

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