iPhone 5 may cost Apple $167.50 to build, says one estimate

Uncategorized | Friday September 7 2012 5:48 PM | Comments (0) Tags: , , , , ,

iPhone 5 may cost Apple $167.50 to build, says one estimate

The iPhone 5 front and back.

(Credit:
Apple )

Apple could be shelling out $167.50 to make each $199 16GB iPhone 5.

At least, that an initial estimate calculated by research firm UBM TechInsights. Looking at the entry-level iPhone 5, the firm broke down the potential cost of each of the various components.

The new 4-inch 1136×640 pixel display costs $18 to build, the touchscreen $7.50, and the battery $3.00. The A6 processor goes for $28, while the camera costs $10 and the built-in WiFi/Bluetooth/GPS is only $4.00. Add in the cost of several other components, and you end up with a BOM (bill of materials) of $167.50.

In comparison, the 16GB iPhone 4S costs Apple $132.50 to build, according to TechInsights’ estimates, while the 16GB iPhone 4 has a price tag of only $112. Except for the battery and the NAND flash storage, every component costs more for the iPhone 5 than for the previous two models.

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iPhone 5 may cost Apple $167.50 to build, says one estimate

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