Hardware inside iphone 6s only costs $234
While there can be many factors which can be attributed to Apple’s success, one of the more important ones is undoubtedly the company’s brand value and customer's loyalty. The company’s devices are often perceived as being top tier and premium in nature, owing particularly to their greater emphasis towards design than towards specifications and performance. And that's why most of the Apple fans around the globe don't bother how much those cost, they would simply buy it without looking anywhere.
You can get a clearer picture if you've looked in the component price teardown of Apple iphone 6s. Analysis by Bank of America Merrill Lynch estimates that the components part of the iPhone 6s cost Apple $234 – only a very slight increase from the iPhone 6. With the 64GB model selling for $749, Apple is pulling in $515 from each sale before the costs of manufacturing and distribution is factored in. Despite of the fact that the new iPhone 6S is significantly different from the iPhone 6, Apple and its manufacturing partners have managed to keep the costs at around the same level.
The biggest part of that cost is $127 for semiconductor pieces, including $36 for the various cellular radios, $25 for the new 64-bit A9 processor, $22 for various sensors (fingerprint, NFC, and so on), and $20 for 64GB of flash memory. Other core components like the screen, camera, and battery will add up to $73, and the other stuff (like the case) will add another $33. The older models are cheaper for Apple to make, as the cost of their components has come down over time.
However, it should be noted that this is the cost of components only, and does not include other costs arising from assembly, distribution, marketing, software development, and the other things that go into designing, manufacturing, and selling an iPhone.
You can get a clearer picture if you've looked in the component price teardown of Apple iphone 6s. Analysis by Bank of America Merrill Lynch estimates that the components part of the iPhone 6s cost Apple $234 – only a very slight increase from the iPhone 6. With the 64GB model selling for $749, Apple is pulling in $515 from each sale before the costs of manufacturing and distribution is factored in. Despite of the fact that the new iPhone 6S is significantly different from the iPhone 6, Apple and its manufacturing partners have managed to keep the costs at around the same level.
The biggest part of that cost is $127 for semiconductor pieces, including $36 for the various cellular radios, $25 for the new 64-bit A9 processor, $22 for various sensors (fingerprint, NFC, and so on), and $20 for 64GB of flash memory. Other core components like the screen, camera, and battery will add up to $73, and the other stuff (like the case) will add another $33. The older models are cheaper for Apple to make, as the cost of their components has come down over time.
However, it should be noted that this is the cost of components only, and does not include other costs arising from assembly, distribution, marketing, software development, and the other things that go into designing, manufacturing, and selling an iPhone.
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