Feeds

iPod Classic to ring till loudly for Apple, analyst says

Kerching!

Internet Security Threat Report 2014

Apple's $349 160GB iPod Classic contains $190 worth of components, it has been claimed. While the remaining $159 isn't all profit, it still means the Mac maker does very nicely, thank you, out of every Classic it sells.

The figures come from market watcher iSuppli, which regularly disassembles iPods to calculate how much they cost to make. The 80GB Classic - reviewed here - contains $127 worth of parts and retails for $249, iSuppli said.

On to those bill-of-material (BoM) costs, you've got to add a cut of the software development cost and a share of the money Apple pays for the players to be assembled, packaged, distributed, marketed and sold. Still, the figures point to healthy profits for Apple, and there's nothing wrong with that. It'll subsidise the new, much lower iPhone price very nicely, we'd say.

Interestingly, the previous, 30GB iPod had a BoM of $143, according to iSuppli, so Apple has been able not only to increase its profit margin on the new models, but do so with iPods that offer significantly higher capacities than before.

iSuppli said it reckons Apple will sell 3.1m iPod Classics this year. That sounds a big number, but it's peanuts to the 26m third-generation Nanos and Touches the analyst believes will be purchased by the end of 2007.

Kerching!

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Chipmaker FTDI bricking counterfeit kit
USB-serial imitators whacked by driver update
Xperia Z3: Crikey, Sony – ANOTHER flagship phondleslab?
The Fourth Amendment... and it IS better
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Microsoft to enter the STRUGGLE of the HUMAN WRIST
It's not just a thumb war, it's total digit war
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
FTDI yanks chip-bricking driver from Windows Update, vows to fight on
Next driver to battle fake chips with 'non-invasive' methods
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.