iSuppli, have produced their component analysis for the iPhone 4. They roughly estimate that the component costs (BOM – Bill of Materials) for the iPhone 4 are about $188 US.
It is important to remember that this figure is simply to buy a bag of iPhone 4 bits. It does not include, R&D, Patent Licensing, Software / OS, Manufacturing, Shipping or Packaging.
The most expensive component in the iPhone 4 is unsurprisingly the 960×640 pixel touch sensitive LCD display assembly from LG. That comes in at around $28.50.
After that the Apple A4 SoC (the iPhone 4’s brain) is estimated to cost around $10.75.
Most other components, such as the gyroscope and accelerometers really only cost a few dollars each. But there are a number of these kinds of components in the new iPhone 4!
$188 is in line with the cost of the iPhone 3GS, which was rumoured to have a Bill of Materials of $179 when it was introduced. The “BOM” for the 3GS has now dropped to around $134.
Do you think the iPhone 4 is too expensive now you know how much its bits cost? Let us know your view in the comments.
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One Comment on ““iPhone 4 Components Cost Around $188””
I assume this is the retail price for the components.
All those parts sold by manufactures are included a lot of profit. Apple buys them probably for a lot less. Than the Iphone is produced in one of those low wage countries. So production is less than zero. The real cost are in developing software and marketing.
I assume this is the retail price for the components.
All those parts sold by manufactures are included a lot of profit. Apple buys them probably for a lot less. Than the Iphone is produced in one of those low wage countries. So production is less than zero. The real cost are in developing software and marketing.