How much it Costs to build an iPhone 5

With the release of the iPhone 5 drawing ever nearer the public is growing restless and expectant. However, the public is also growing wary. With lawsuits being hit back and forth from Apple to Samsung like a tennis ball and the run of the Anti-Apple Ads from both Samsung and Nokia, people can be forgiven for being a bit cautious around Apple. Their clean-cut image is being tarnished by the public’s uncertainty over their decision to sue Samsung for all they can. Protecting their patents or just trying to squash the opposition ?

Whatever you believe, and only time will tell if Apple did the right thing by suing Samsung, it’s a still a huge shame that the announcement of their new iPhone comes amidst such a background of nastiness. But here, at least, is something for the Apple fans to be happy about.

How much it takes to build an iPhone 5 :

To make a 16 GB model of the iPhone 5 cost Apple $167.50 (around £103) each. This may seem like an intestinal amount, especially when you learn that the most expensive part of the phone was the A6 Chip and cost $28, but this iPhone is actually the most expensive to make to date, having risen over $30 per model since the iPhone 4S. Despite the on going battles with competitors and the fact that Apple must be aware that their reputation did not emerge unscathed from the tussle between themselves and the Korean company they have not held back from giving their customers the best – as usual.

Read : How iPad is Made – Video

Add the $167.50 on to the amount Apple have spent on labour, marketing, sales and advertising as well as the hundreds of thousands of dollars spent on wages and suddenly the profit margin on the iPhone shrinks quite rapidly. Obviously Apple sells their products for profit, but that might not be quite as much as it first appears.

iphone-5

It is comforting to know that while Samsung is publishing ads claiming Apple are rubbish , we as fans, know that Apple have never given us the most up to date technology right away. They, as perfectionists, always like to make sure it is the best it can be before including it in their devices. Wait for the actual device to be released and analyzed by iFixit team of engineers  , to see what lies inside it . The device will be dissembled and all internals of iPhone 5 will be thoroughly reviewed .

The breakdown of the cost of the iPhone 5 parts goes as follows :

  • Display – $18.00
  • Touchscreen/Cover Glass – $7.50
  • Battery – $3.00
  • Camera- $10.00
  • WiFi/BT/GPS – $4.00
  • NAND – $9.00
  • SDRAM – $4.00
  • Processor – $28.00
  • BB+XCR – $25.00
  • Non-Electronic – $17.00
  • Other – $38.00
  • Supporting Materials – $4.00

Total Manufacturing Cost : $167.5        Actual Selling Price of iPhone 5 16GB Unlocked : $649

Also Read : iPhone 5 Benchmark Test – Surpasses all Android Devices .

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