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iPhone 3GS: $179 to build says iSuppli


iSuppli's just released its estimated cost of Apple's newest offering, the iPhone 3GS. Total costs for the 16GB model costs $178.96 to manufacture, according to them -- give or take $4.63 more than the 8GB iPhone 3G estimate from last year. It's also about $40 more than iSuppli's most recent manufacturing estimate for the Palm Pre. The estimate covers only materials, and doesn't take into account various costs such as shipping and distribution, packaging, royalty fees or all the miscellaneous accessories included with each handset. Regardless, it definitely looks like Apple's managed to step up the innards of the phone without a significant bump in costs.

Palm Pre: $138 to build according to iSuppli


With the economy in the tank (still) and the heat on, cost and profit margins are more important than ever to companies hoping to stave off the inevitable, apocalyptic doom of recession. Well, iSuppli's released an estimated report of how much its costing Palm to cobble together the Pre -- about $138, as it turns out. iSuppli has positively identified just two of the Pre's suppliers thus far -- that Texas Instruments OMAP chip, which runs Palm $11, and Qualcomm's wireless chip -- but they've formed a general picture of what's under the hood for the estimate. That price is about 46 percent of the $300 iSuppli suggests Palm will be charging Sprint for the Pre (a number that's completely unconfirmed at this point). To put it in perspective, the BlackBerry Storm costs about $203 to make and was sold for $199 initially, the G1 clocked in at $144, while the iPhone 3G costs Apple an estimated $174.33. Of course, we have no way of assessing the accuracy of the estimate yet, but if it's in the neighborhood of correct, Palm's profit margin should be pretty healthy.

iSuppli: BlackBerry Storm costs $4 more than its purchase price to build


In a fiscal climate where profit margin reigns intensely supreme, we've got yet another dollop of bad news to heap upon the parfait of pain that is the $199 (after $50 mail in rebate) BlackBerry Storm. Research firm, iSuppli, estimates that the cost for the components and assembly of RIM's BlackBerry Storm are just shy of $203 -- an estimate that does not include software development and uh, bug fixing costs or those attributed to patent licensing, physical distribution, marketing or anything else in the product lifecycle. The most costly component is the $35 Qualcomm MSM7600 processor that gives the Storm its dual GSM / CDMA personality. Now, $203 isn't that big of a spread compared to the per unit cost of a $175 8GB iPhone 3G, $169 BlackBerry Bold, or $144 T-Mobile G1. However, the lost prophets profits add up quickly when you've moved over a million units globally.

P.S. We're not implying that RIM is losing money here (the price is obviously carrier subsidized), only that the Storm is likely less profitable than its peers. But without knowing what VZW pays on a per unit basis, we can't say for sure who's getting the fiscal-shaft.

iSuppli says T-Mobile G1 costs $144 to make, nothing to love

Teardown specialist iSuppli is at it again, digging through the G1's guts this time around in an effort to wrap its inquisitive brain around the inaugural Android handset's bill of materials. The result? $144, which naturally doesn't reflect HTC's R&D -- an additional expense that might have been unusually low for the G1 considering HTC's overwhelming expertise in manufacturing all things mobile. For the record, this is about $30 less than iSuppli's July estimate for the 8GB iPhone 3G, though the comparison isn't terribly fair considering that the G1 has a mere pittance of internal storage by comparison. There's no telling what T-Mobile pays HTC for each and every G1 it sells, but we pay $179 (or less) on contract -- so it seems HTC is making itself a nice little profit right out of the gate and customers aren't footing much of the bill. At least, not until they've gone a few months into their two-year agreements.

iSuppli sez iPhone 3G is running Apple $53 less than original


Tech firms seem to have this uncanny ability to significantly boost functionality while significantly reducing cost with each new generation of a product -- and you'll never believe this, but it looks like Apple is no exception. The teardown and bean-counting experts over at iSuppli are at it again with the iPhone 3G, finding that the whole kit and kaboodle tallies up to just $174.33 (give or take) for the 8GB model in material and manufacturing costs. That works out to about $53 less than iSuppli's estimate for the original 8GB model back in June of last year, an amount saved in part by moving to a single 10-layer circuit board (versus a pair of 6-layer boards). The firm figures Apple's shelling out about $50 in royalties for each iPhone 3G that rolls off the assembly line, leading to a grand total of $224.33 in costs. Offset that with a healthy AT&T subsidy, and all told, we're looking at something like a 55 percent margin to help Steve finance his next round of black turtlenecks.

[Via AppleInsider]

Motorola Q broken down by the numbers

iSuppli's back doing what they do best -- ripping apart your favorite piece of hardware, adding up the component costs, and letting you know how much you're getting taken when you whip out the plastic. Today's victim is Motorola's text-tastic Q, and though the margins are pretty slim, it looks like Moto and Verizon are in the black on every unit they push. All told, iSupply totals the cost of the Q's guts to be $150; tack on another $8 for manufacturing and you're looking at $158 out the door. The most expensive component, not surprisingly, is the device's 320 x 240 display at $25, with memory and the XScale rounding out the top three. If you've invested in one of these bad boys lately you know that Verizon's charging $199 on a two-year contract, meaning that in the worst case, the two companies are splitting $41 -- and if you opt for a one-year at $349, well, they're just rolling in fat city.




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