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Tuesday June 24, 2008
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According to a preliminary analysis by iSuppli Corp., the new Apple iPhone 3G materials and manufacturing cost is $173. The initial retail price of the phone announced by Steve Jobs will be $199. iSuppli has performed a breakdown of the costs using insights from its analysis staff to develop estimates of iPhone content, suppliers, and costs.
"The new iPhone is significantly less expensive to produce than the first-generation product, despite major improvements in the product's functionality and unique usability, due to the addition of 3G communications," said Dr. Jagdish Rebello, director and principal analyst for iSuppli. "The original 8Gbyte iPhone carried a cost of $226 after component price reductions, giving the new product a 23 percent hardware cost reduction due to component price declines."
Tina Teng, wireless communications analyst at iSuppli, added that if the 3G iPhone design is unchanged, the cost should drop down to $126 in 2012.
Posted By:
Chris Gampat
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June 25, 2008 11:14 AM
Are we forgetting the $325 Apple gets from AT&T for every activated iPhone?
June 25, 2008 4:58 PM
I would agree. AT&T pays hundreds of dollars to apple per phone. So more accurately, Apple is making 66% or higher (I've heard $600 per phone which would raise it to 75%) pure profit. This article is misleading and should be retracted immediately
June 25, 2008 7:01 PM
yes...even though the pricing model has changes between the two iPhone versions Apple still is receiving a hefty cut on the price of the iPhone 3G. yes, the "list" price is $199, but it is very subsidized (to the tune of hundred$ more dollar$) by AT&T
June 26, 2008 9:08 PM
I fail to see how Apple's cut or profits from the purchase price has anything to do with the actual cost to manufacture the item. The article isn't misleading at all.
October 20, 2008 8:14 PM
Hi, I'm Thomas from canada...i want more Iphone 3g 16gb & 8 gb & just iphone 3g without m.Card.
to sell in canada
so...can you tell me how much that prices & how to buy
sent me all details to my E-mail address,
bye