Apple build costs for 256GB iPhone XS Max estimated at $453 [u]

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Comments

  • Reply 21 of 26
    volcanvolcan Posts: 1,799member
    The cost of the parts has almost nothing to do with the price of an iPhone. For example there is assembly costs, research and development costs, taxes, real estate, shipping, transportation, insurance, salaries, charitable donations, etc. All contributing factors to the selling price of iPhones. Apple itself probably doesn't even know how much it costs to sell one to you.
  • Reply 22 of 26
    claire1claire1 Posts: 510unconfirmed, member
    But some random iKnockoff idiot tole me the iPhone costs $20 to make?!?!!?!?!??!

    (NOT being sarcastic unfortunately, someone really said this....)
  • Reply 23 of 26
    Apple should have at least spent a couple of more dollars per unit on a larger battery. Apple is always providing the smallest capacity battery out of all flagship smartphones. Apple's greed in this case makes little sense to me and I'm an Apple shareholder. Is that L-shaped battery too expensive for Apple to increase the capacity? I've seen a tear-down of the latest iPhone and it's a tight fit. How do the Android smartphone manufacturers manage to fit in much larger batteries? Sorry, but I think it's just stupid for Apple to short consumers with low battery capacity. I think it gives those Android flagships too much of an advantage.
    Could be that L shape battery carries higher risks of manufacturing defects. So, not only they have to spend “couple of dollars” more on building it, but also a lot more when fixing them and dealing with bad publicity, when those batteries start failing en masse 
    edited September 2018
  • Reply 24 of 26
    SoliSoli Posts: 10,035member
    Apple should have at least spent a couple of more dollars per unit on a larger battery. Apple is always providing the smallest capacity battery out of all flagship smartphones. Apple's greed in this case makes little sense to me and I'm an Apple shareholder. Is that L-shaped battery too expensive for Apple to increase the capacity? I've seen a tear-down of the latest iPhone and it's a tight fit. How do the Android smartphone manufacturers manage to fit in much larger batteries? Sorry, but I think it's just stupid for Apple to short consumers with low battery capacity. I think it gives those Android flagships too much of an advantage.
    Could be that L shape battery carries higher risks of manufacturing defects. So, not only they have to spend “couple of dollars” more on building it, but also a lot more when fixing them and dealing with bad publicity, when those batteries start failing en masse 
    Why? In at least one photo it looks like two separate rectangular batteries.
    edited September 2018
  • Reply 25 of 26
    jbdragon said:
    There still the cost of the parts.  There are also costs in licensing fees for each phone.  There are labor costs.  Packaging costs. Production line costs. R&D costs.  Whatever else!!!  One thing is for sure,  Apple is at least getting their 30% plus any added taxes they have to pay out gets passed to you.  
    Absolutely, it can be misleading. To add to the cost list there's the cost of figuring out the right order for all those bits/bytes that make up iOS. And the next several versions of it. And all the iCloud services that come bundled. And distribution (I didn't collect my Xs from China).

    You also mentioned R&D but it bears repeating. One of the extreme things about modern technology is that it costs huge amounts of money to design something like a processor or a Face ID sensor system but relatively little to reproduce that design in many production units. Apple has to recover that cost and be able to afford the next 'big thing'.

    And then they make a big profit, one of the best in the industry but, in my book, he who makes the best is entitled to a bigger reward.
    GeorgeBMac
  • Reply 26 of 26
    command_f said:
    jbdragon said:
    There still the cost of the parts.  There are also costs in licensing fees for each phone.  There are labor costs.  Packaging costs. Production line costs. R&D costs.  Whatever else!!!  One thing is for sure,  Apple is at least getting their 30% plus any added taxes they have to pay out gets passed to you.  
    Absolutely, it can be misleading. To add to the cost list there's the cost of figuring out the right order for all those bits/bytes that make up iOS. And the next several versions of it. And all the iCloud services that come bundled. And distribution (I didn't collect my Xs from China).

    You also mentioned R&D but it bears repeating. One of the extreme things about modern technology is that it costs huge amounts of money to design something like a processor or a Face ID sensor system but relatively little to reproduce that design in many production units. Apple has to recover that cost and be able to afford the next 'big thing'.

    And then they make a big profit, one of the best in the industry but, in my book, he who makes the best is entitled to a bigger reward.
    Exactly!   Well said!

    But, invariably, these "Costs to produce" get the iPhone compared to various Android phones as if it's a valid comparison.   But, in truth, the things that you mentioned not only add to the cost of the phone (but are not included in the "cost to produce") but they are really what sets iPhones apart from and above the rest. 

    That is:  if you compare an iPhone to a Samsung looking only at the hardware, there isn't a lot of difference.  But yet, we all know the superiority of the iPhone.   That superiority derives from all those ancillary things that cost money but are not part of the "costs to produce".
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