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Kamis, 16 November 2017

A breakdown of iPhone manufacturing costs over time

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A breakdown of iPhone manufacturing costs over time

The iPhone X is the most expensive mobile phone on the market. It is a fact that consumers have largely gotten used to, and many early buyers now acquiesce that the high price is worth it. During Apple's Q4 earnings call, CEO Tim Cook commented on the price point, saying: "We’re not trying to charge the highest price we could get or anything like that. We’re just trying to price it for what we’re delivering." 

As we can see in this chart from Statista, Cook was not lying. While the X does have a 64% gross profit margin, it is the priciest phone the company has ever made. According to 9to5Mac, the most expensive part of the iPhone X is the OLED screen. It costs Apple $65.50 to make, almost thirty dollars more than the LCD screen on the iPhone 8. It's important to note that these manufacturing costs are only estimates, there is no way of knowing for sure how much each iPhone model costs the company. Tim Cook has previously stated that he has never seen estimates that are even close to being accurate. 

 

 
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