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Building iPhone 4 costs $ 188

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Apple spends about $ 188 on all the components and hardware of the new iPhone 4: this is the cost estimate developed by iSupply and published a few days after the launch of the smartphone. The company specialized in market research and analysis in the world of mobile devices has identified each component of the iPhone 4, then going back to its manufacturer, finally proposing an estimated production cost.

In the shopping list needed to build iPhone 4 the most expensive component is the Retina Display screen whose estimated cost for Apple of $ 28.50 a piece while the manufacturer seems to be LG. The cost of the iPhone 4 high definition screen about 3 times higher than the estimated cost of the Apple A4 processor which according to iSupply costs $ 10.75, designed by Apple and built by Samsung. In the world of hardware and the large quantities moved by Apple also the gyroscope, another distinctive feature of the iPhone 4, available at the affordable price of $ 2.60: together with the accelerometer provided by ST Microelectronics.

With the only exception of the first iPhone EDGE (estimated cost $ 226), iSupply seems to have identified a sort of internal budget that Apple seems to comply with as the maximum hardware expenditure incurred to make the various iPhone models. While iPhone 4 costs $ 188, the estimated cost of the iPhone 3GS was initially $ 179 then dropped to $ 134 thanks to the subsequent drop in components. In the same range of 170-190 dollars falls iPhone 3G with an estimated cost at launch of 173.33 dollars.

Recall that all the cost estimates of iSupply, including that of the new iPhone 4 only include hardware: the calculation does not include other fundamental factors such as software development, advertising, costs for licensed technologies, transport, labor and so on. According to iSupply, even with iPhone 4, Apple managed to maintain profit margins substantially identical to those of the previous models and which to date have allowed it to record record revenues.