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iSuppli: Apple making less money per unit on iPad 3 than iPad 2, mostly

Written by Andre Yoskowitz (Google+) @ 18 Mar 2012 16:37 User comments (3)

iSuppli: Apple making less money per unit on iPad 3 than iPad 2, mostly According to research firm IHS iSuppli, Apple is making less money per iPad 3 sold than they did on the corresponding iPad 2 models, for the most part.
The new tablet just went on sale on Friday in the U.S. and 9 other nations, where base models start at $500 just like in previous generations.

For example, the new 32GB LTE third generation iPad, which costs $729, costs Apple $375.10 to produce, including the bill of materials and manufacturing costs. The smaller capacity 16GB LTE version has an assembly cost of $358.30, while the largest 64GB LTE model has an assembly cost of $408.70.

Non-LTE versions, those that only include Wi-Fi capability, cost $316 for 16GB model, the 32GB model comes in at $333, and the 64GB version comes in at $366 total assembly costs.

As expected, the Retina Display and touchscreen are the most expensive component, at $137. The flash memory costs $16.80 (16GB), $33.60 (32GB), or $67.20 (64GB) and the ARM-based A5X processor comes in at $23. The new battery costs $42. The new-and-improved camera costs $12.35 while the WLAN/BT/FM module costs $15.

Electro-mechanical and mechanical parts cost Apple $50.50 and the BB/RF/PA module costs $ 41.50 rounding out the most expensive components.

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3 user comments

118.3.2012 16:39

Right Im sure its really going to put a hurt on Apple...........The most valuable company in the world!

218.3.2012 16:57

Originally posted by nbfreak2:
Right Im sure its really going to put a hurt on Apple...........The most valuable company in the world!
Not necessarily hurt just prevent them from making an obscene amount more. For example if they now lose 10 more bucks on every ipad sold. If they sell 15 million of them, they lost 150,000,000 that they could have made by using cheaper parts. Still its disgusting that 16gb of storage equates to 100 bucks.



"Cable thief is a victimless crime."

319.3.2012 14:25

This kind of sounds like a pickup article by a fanboy (not here at AD) who was probably making an attempt to validate why Apple isn't coming off as the planetary commercial salesmen of the year at the moment.

Virtually every component seller on the planet that doesn't get the record setting number they wanted out the door opening weekend get a lackey to leak some woeful numbers spilling some insider trade pricing tearfully snotting up the sacrifice the vendor had to make in order to get their product out to market.

Simply put, people are pissed the product didn't live to the hype. they whipped it out, stepped on it & now it's damage control. R&D costs millions, punk bitches at a couple of news stations cost a few ipuds. A few frilly words from the news crews & we're supposed to feel sorry for poor CrApple. Simple greed economics.

I'm not buying any of it. F*kem in the mouth till the back of their heads cave in...


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