iPhone 4: Shock, shock, shockingly cheap to make

June 28, 2010

It’s a complete rip off (or so the haters will again tell us)! As with all of these estimates, product development, marketing and logistics costs aren’t included, so don’t get too upset. Also, think about how much Apple could get if every unit was sold to the highest bidder?

Apple’s put out a new product, so iSuppli has published their version of the device’s bill-of-materials (BoM), which they say adds up to $187.51 per iPhone 4. Interestingly, this price is around $9 ($178.96) more than iSuppli’s iPhone 3GS estimate and about $14 ($173) above the iPhone 3G, though none has to-date topped the $223 BoM of the original iPhone back in 2007.

Also of note is the fact, or so we’re told, that the single most expensive component is the 960×640 IPS LCD at $28.50 followed by the Apple-designed A4 processor $10.75. iSuppli estimates the STMicro gyroscope used in the iPhone 4 costs $2.60.

Again, as alluded to in the lead, Suppli’s BoM doesn’t take into account development, marketing and logistics costs, so their estimate is bound to be artificially low.

Thar’s gold in ‘em displays

That said, Taiwanese smartphone maker HTC is moving its products away from AMOLED to LCDs and, one presumes, the super crispy IPS type used by Apple. Is HTC picking up Apple’s last generation (i.e. iPhone 3GS) sloppy seconds or is a war brewing over the super high resolution 960×640 version, which is already said to be in short supply?

Another tasty and potentially nutritious bone to chew is the juxtaposition of the prices of an A4 processor, a system on chip solution that does 90 percent of what a “real” computer can, and the price of a full-fledged Intel Core 2 Duo chip, which sells for hundreds. Seriously, Intel’s gotta be looking at the situation and passing bricks from their collective backside…

What’s your take?

via Electronista



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One Response to “iPhone 4: Shock, shock, shockingly cheap to make”

  1. Contos:

    great share

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