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[IHS] iPhone 4s costs $188 to manufacture - Page 6

post #51 of 73
If speculated prices are true, R&D and associated cost is free?
 
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post #52 of 73
Quote:
Originally Posted by MintMouse View Post
There's nothing particularly wrong about it. But they have the opportunity to offer a product at a much lower price than they are - allowing people who couldn't afford it before, to consider it - and just generally putting an extra ton in peoples back pocket. I don't expect them to, they're a business - and more specifically, they're Apple.
It costs Coca-Cola 19 cents to produce a 6-pack of Coke in cans and ship it, they charge about retailers probably around $1.50 for it, leaving the retailer to make $.50-$1.00 off it. So that's about 80% gross-margin for Coca-Cola. Basically, these kinds of gross-margin are widespread, it's not just Apple, and not just tech companies doing it.
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post #53 of 73
this is how the money rolls lol , i think the SGS II might not even exceed 200$ as per manufacturing is concerned ..
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post #54 of 73
Quote:
Originally Posted by FtL1776 View Post
Wrong.

The A5 is huge. Yet it still only costs $15? No.
That's where your wrong, these chips don't cost that much at all.
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post #55 of 73
Apple's Profit Margin

BP's Profit Margin

Yes. Apple is a profit hog. Almost 4x the profit margin of an oil company after taxes.
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post #56 of 73
Quote:
Originally Posted by Joephis19;15421042 
Apple is a profit hog.

Good for them! Keep those 401Ks strong, ya know?
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post #57 of 73
Quote:
Originally Posted by lordikon;15419735 
It costs Coca-Cola 19 cents to produce a 6-pack of Coke in cans and ship it, they charge about retailers probably around $1.50 for it, leaving the retailer to make $.50-$1.00 off it. So that's about 80% gross-margin for Coca-Cola. Basically, these kinds of gross-margin are widespread, it's not just Apple, and not just tech companies doing it.

The company I work at (and I will refrain from stating for legal reasons) sells at around 55% CoGS, 20% CoM, and another 10% SG&A. Another ~7% in Interest and Capital Expenditures for 7.x% margin.

People going 'crap they're hogs!' are vastly misinformed as to the costs of things.
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post #58 of 73
Everyone is saying that the Iphone cost 200US but in a fact its cost like 600US to buy the unlock phone. The 200US cost is only for US.
post #59 of 73
Quote:
Originally Posted by 2010rig;15383487 
And I remember SteelBom saying that it costs Apple $100 - $200 extra between the 16GB - 64 GB models. I knew there wasn't much of a difference cost wise, just an extra $150 profit for Apple.

A lot more profit than that...who do you think pays the for the subsidy of the phones? Not Apple...they get paid closer to full retail for them by the telcos.

Rzr has it right.
Edited by zogg - 10/23/11 at 12:48pm
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post #60 of 73
Quote:
Originally Posted by zogg View Post
A lot more profit than that...who do you think pays the for the subsidy of the phones? Not Apple...they get paid closer to full retail for them by the telcos.

Rzr has it right.
You and other posters are confusing margin and profit.

Motorola has a margin thats probably not that much less than apple on smartphones, yet they lost money (negative profit) for many quarters straight.
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