Apple’s iPhone 8 and iPhone 8 Plus went on sale last week. We have already seen a teardown of both handsets and some hands on videos of the two devices.
Now we have some details on how much it costs Apple to make their new iPhones. The news comes in a report from IHS Markit, who have worked out the costs of materials and also the build costs of both of Apple’s new iPhones.
According to the report the 64GB iPhone 8 Plus has a bill of materials of $288.08, this is apparently higher than any of Apple’s previous devices.When you add in the manufacturing costs of $7.36, the total cost to Apple for the iPhone 8 Plus is $295.44. The iPhone 8 apparently costs Apple $247.51 in materials.
Apple is selling their iPhone 8 for $699 and the iPhone 8 Plus for $799, so the company is making a healthy profit on each device.
The higher total BOM cost for the iPhone 8 Plus can’t be tied to a single area or feature. The higher cost is the result of slower annual component cost erosion tied in with additional features,” said Andrew Rassweiler, senior director of cost benchmarking services for IHS Markit. “From a teardown perspective, the biggest cost adders would be the increased NAND flash memory content and new wireless charging components.”
You can see the full breakdown and more details on how much it costs Apple to manufacture their latest iPhones at the link below.
Source IHS Markit