Early 2009 Mac mini: Cut the lean, lower the price
Recently, we learned that Apple’s new iPhone 3GS costs more to make than its predecessor due to the inclusion of twice the performance and storage. Now, we also find out that the company’s most-affordable desktop computer, but still none too cheap Mac mini, has also seen a marked increase in its basic material and manufacturing costs for largely the same reasons—premium functionality costs more.
Quoting a just released iSuppli tear down analysis, News.com reports that Apple’s basic cost to build an Early 2009 Mac mini is $387.14, which includes a $376.20 bill-of-materials (BOM) and a little less than $12 for manufacturing. Of course, these figures don’t include development, licensing or marketing costs, and are provided here as fat to chew over.
See also:
— RAM for your Early 2009 iMac, Mac mini
— What’s new in the early 2009 iMac, Mac mini
— What Apple’s Mac updates say about the future of the desktop
“Unlike most desktop computers from other brands, the Mac Mini and, indeed, Apple’s entire Mac line make extensive use of components designed for notebook computers,” said Andrew Rassweiler, director and principal analyst, iSuppli. “Apple knows how to make computers better, smaller, and more attractive. Such an achievement, however, comes at a premium.”
Pollute a little, save lot
A few years back, a similar iSuppli tear down of the Mac mini G4 showed that model cost around $280 to make. Again, without considering development, etc costs, that puts this product’s margin at above 40 percent ($499 asking). The G4’s base cost and margin both compare very favorably with the current generation mini, which only delivers a crude 35 percent margin on a $599 suggested retail price.
From the 2.5 inch hard disc drive and slimline SuperDrive to the custom engineered 802.11n and Bluetooth wireless components, today’s Mac mini delivers great low-power consumption and reduced use of toxic materials, just like Apple’s much touted “world’s greenest lineup of notebooks.”
That said, I would personally be willing to use a little more electricity and put a few more toxins in the land fill for $100 off the price. Even then I suspect the Early 2009 Mac mini would be more efficient and have greener guts than anything HP or Dell offer at the low end…
What’s your take?
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June 29th, 2009
Well Ronald,
You think the whole world should take a kick in the nuts so you can save a $100. You should have been a 19th century industrialist instead of a cluless 21st century Blog hack.
You should buy a Asus as a vote for killing the planet so that you can have cheap toys.
June 29th, 2009
This last upgrade to the Mac mini was the first one for over three years. At the time it was introduced, the Mini’s BOM was as razor thin a profit margin as todays Mini. But, over time the price of the components came down until the Mini was making good profits.
Apple seems to be doing the same thing again. Next year, pundits will be complaining about how long it has been since the Mini was refreshed.
June 29th, 2009
Next year Intel won’t be making the T7350 processor (it isn’t on their price list now) so Apple will be forced to refresh the mini.
The mini is a good machine at the price. It’ll serve my kids and HTPC needs very well. When Apple fixes the iMac display problem and makes replacing the hard drive less than a 50 step process I’ll consider replacing my tower.
June 30th, 2009
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June 30th, 2009
I’ve had my eye on a Mini for a long time as a computer to hook up to the HDTV. I want to use the Mini to watch Hulu and other Web sites and DVDs and show photos and music basically like a media server. I’d get an AppleTV except I want full Internet access to see free video content and not just paid video content.
You could also play some games on it, which is cool, too, though obviously it can’t replace a PS3 or something.
However, I feel like the Mini needs to be at $300 or less to make financial sense as a “component” in my entertainment system–unless it came with a Blu-Ray drive, in which case I might consider a slightly higher price.