The Register® — Biting the hand that feeds IT

Feeds

Apple TV costs 40 quid to make

Profit-tastic, apparently

Agentless Backup is Not a Myth

All the bits inside the second-gen Apple TV - and the cost of Asian labour to put them all together - cost a total of $64 (£40), market watcher iSuppli has claimed, leaving Apple $35 to spend on software development, marketing and a little left over for profit.

Apple TV

The priciest part is the $16.55 "applications processor" that iSuppli heads its list of Apple TV components with, but that includes not only Apple's A4 chip but also 256MB of DDR memory. The Ram is surely cheaper than the $2.55 different between the applications processor price and the $14.00 of Samsung Flash storage in the box.

iSuppli reckons that the Apple TV's Panasonic-made Wi-Fi and Bluetooth module costs $7.65, the circuit board costs $6.74 and other items of chippery come to between $0.93 and $2.60. The casing costs $3.52.

The researcher notes that while the new Apple TV is one of Apple's lowest-margin products, it should still make the manufacturer more money than the previous version did. The new model is essentially a display-less iPad - the original was a pared down Mac. ®

Customer Success Testimonial: Recovery is Everything

Latest Comments

Ah, sell this at cost...

Apple will sell millions of these, far more than even the popular iPad in the next few years. It seems Steve is selling them exactly at the cost to make, distribute & support them.

-

I've been using mine for a few days and it's wonderfully fast, it opens up the internet to TV on a massive scale for the first time. HINT: all the great free stuff is under Podcasts, endless, free video content!

Sweet.......

0
0

More from The Register

 breaking news
Curtain drops on Apple Store ahead of WWDC: What lies behind?
Steve Jobs watching from on high. No pressure, lads
 breaking news
Cold, dead hands of Steve Jobs slip from iPhones: The Cult of Ive is upon us
Billionaire biz baron's death clears way for uber-shiny iOS 7
Airbus imagines suitcases that find themselves
Point your mobe at your smalls to track their every move
Surprise! Intel smartphone trounces ARM in power trials
Tests show equal performance while sipping significantly less juice
First look: iOS 7 for iPad
No, Apple hasn't released it yet, but that doesn't stop intrepid devs
Apple said to be 'exploring' 5.7-inch iPhone
Who's the copycat this time, Mr. Cook?
Review: Belkin Thunderbolt Express Dock
Missing Mac ports reunited, for a price
 breaking news
Australian 'Apple tax' repealed for MacBook Air
But the new MacPro is priced at a premium