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How much does it cost to produce an iPad Air 2?

How much does it cost to produce an iPad Air 2?

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How much does it cost to produce an iPad Air 2?

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L'iPad Air 2 arrived on the market for a few days and Apple has improved the excellent work done with the first version of the Air. The price remained more or less the same but the production cost for Apple remained unchanged compared to the iPad Air.

Indeed l'IPad Air costs Apple $ 275 only 1 dollar more than the first generation iPad Air. Although the new thinner iPad Air 2 integrates the Touch ID fingerprint reader and has also introduced the NFC chip the cost remained unchanged. The model with 16Gb memory costs 275 dollars while for the 128 GB model it reaches up to 358 dollars.

In short, the margins are very high, since for the 128GB one spends less than 320 euros while the cost of selling well 819 euros therefore more than double the price.

The most expensive component the Retina display with a cost of 77 dollars for an impact of almost a third of the total, then we find the memory with which Apple spends about 10 dollars for the 16GB one up to 60 dollars for the 128GB one. The processor Apple A8X and the M8 coprocessor, produced by TSMC and Samsung, cost only $ 22 while the two cameras cost Apple only $ 11. Complete the whole, the Wi-Fi antenna at $ 4.50, the battery for $ 15. Finally we find the components for audio and sensors, including the NFC at 22 dollars and the 2 GB RAM costs another 18 dollars.

In full policy, Apple reserves almost 50% more than the final production costs.

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