Feeds

Apple's iPhone 3G S: the $179 handset

Parts and labour cost just $9 more than Palm Pré's

Boost IT visibility and business value

It costs Apple roughly $3 more to make an iPhone 3G S than it does Palm to pump out a Pré, hardware analysis by market watcher iSuppli has revealed.

iphone3gs_explode

An expoded view of the iPhone 3G S
Image courtesy of iSuppli

Following a Bill of Materials (BoM) and manufacturing breakdown of the iPhone 3G S, iSuppli concluded that each unit will cost Apple $172.46 in components and $6.50 to manufacture.

By contrast, the same analysis conducted on the Pré back in April discovered that Palm’s smartphone costs $170 in components.

The analysts’ latest BoM breakdown was conducted on a 16GB iPhone 3G S. It discovered that the phone’s priciest part is its Flash memory, supplied by Toshiba at a cost of $24.

Apple’s second highest outgoing is the phone’s Toshiba-supplied 3.5in display module, which costs $19.25, iSuppli said.

One of the iPhone 3G S’ cheapest components is it GPS receiver, iSuppli discovered, which costs just $2.25.

The latest iPhone sports several hardware improvements over its predecessor. For example, the 3G S’ processor is 200MHz faster than the 3G model’s – a change that adds $14.46 to the BoM of each new iPhone. The 3G S also has a more powerful camera than the 3G model.

However, the analyst stressed that “the 3G S hardware feature set is not much different from that of the 3G” and so concluded that, from a component and design perspective, Apple’s able to produce the 3G S “at only a slightly higher materials and manufacturing cost” than the model’s forerunner.

It’s worth remembering, though, that Apple’s $179 BOM doesn’t include additional costs, such as software development, shipping, distribution and packaging. ®

The essential guide to IT transformation

More from The Register

next story
Top Gun display for your CAR: Heads-up fighter pilot tech
Sadly Navdy kit doesn't include Sidewinder missile to blast traffic
FEAST YOUR EYES: Samsung's Galaxy Alpha has an 'entirely new appearance'
Wow, it looks like nothing else on the market, for sure
iPhone 6 flip tip slips in Aussie's clip: Apple's 'reversible USB' leaks
New plug not compatible with official Type-C, according to fresh rumors
YES YES YES! Apple patents mousy, pressure-sensing iVibrator
Fanbois prepare to experience the great Cupertin-O
TV transport tech, part 1: From server to sofa at the touch of a button
You won't believe how much goes into today's telly tech
Apple takes blade to 13-inch MacBook Pro with Retina display
Shaves price, not screen on mid-2014 model
NVIDIA claims first 64-bit ARMv8 SoC for Androids
Mile-High 'Denver' Tegra K1 successor said to rival PC performance
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
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.