Taking The iPhone Apart

[HardOCP News]

Since the iPhone is the hot topic of the day, here is an article dedicated to taking the iPhone apart. According to the firm that performed the autopsy, the iPhone costs only $220 to make, the rest is gravy for Apple.

Portelligent estimates that the cost of the materials used in the iPhone add up to about $200 for the 4-gigabyte version, which sells for $499 and about $220 for the 8-gigabyte version, which sells for $599. Their estimate doesn't include costs of final assembly, but it does give some insight into the gross margin on the device

 

[RoBo]

That article needed some PICTURES.

 

[somecallmeTim]

The big thing they left out is the cost of the software, the support behind the product (if any) - it's not just hardware, there are more costs involved - but Apple is still making a nice tidy profit on those that buy one (same goes for th iPod too... or anything "i")

 

[jmackay]

All electronics cost more when they first come out, if you sold at base cost, you would loose money because you had to pay people to create the product and other Research & Development costs.

 

[Decibel]

That article needed some PICTURES.

qft!

 

[GuruX]

That article needed some PICTURES.

HERE's your pictures.

(There's a few other sites that ripped open their iPhones as well. )

 

[GJSNeptune]

That article needed some PICTURES.

Damn. I was about to hit the link, too. Thought it was a natural complement to the Apple TV deconstruction article.

Oh well.

 

[RoBo]

HERE's your pictures.

(There's a few other sites that ripped open their iPhones as well. )

lolz at the motherbord.

 

[Kibbles]

Worksman Compensation and retirement benefits is another $200.00 per phone

 

[Vryce]

Worksman Compensation and retirement benefits is another $200.00 per phone

Actually, that's why the phones aren't made in the West.



If they really wanted to get down to a materials only price, they'd break down all the chips to their component materials and compute it from there. There's probably a combined total of $25 worth of raw materials in that bad boy! Apple is REALLY ripping people off

 

[w1retap]

Wait.. there is no removable battery on the phone? What happens when it shits out like most of the other cell phones I've owned?

 

[hity645]

Wait.. there is no removable battery on the phone? What happens when it shits out like most of the other cell phones I've owned?

Apple replaces it. I thought I saw somewhere after about 400 charges it has to be replaced..

 

[w1retap]

Hrm.. seems pretty gay. I'd rather pop in a new $20 battery.

 

[Martyr]

Hrm.. seems pretty gay. I'd rather pop in a new $20 battery.

apple would rather overcharge you for it

 

[Silentbob343]

Worksman Compensation and retirement benefits is another $200.00 per phone

GM calls that legacy costs and why they love building and selling cars in China. In the US they make roughly $200 profit on the Lesabre while in china it is roughly $2000, IIRC.

 

[JPOnion]

You mean the iPhone is an overpriced piece of equipment? I am shocked, shocked I say!

Oh wait, I mean I'm not.

 

[ICE_9]

This happens everywhere. Anything electronic that you will use for 2 years or greater has a high gross margin on it. Things like food, TP, etc have low margins on it because you need some EVERYDAY.