According to iSuppli who did the teardown and estimated the total bill of materials and manuracturing cost – $174.33. That’s pretty hefty profit for Apple since they sell the device for much more than that. AT&T sells one without the contract for $599. They even make more on the 16GB version, which costs them only $23 more but sells for $100 more. If you are Apple shareholders, you have to be happy with the profit margin that other phone manufacturers can only dream about.

Incoming search terms:

  • cost to make the iphone
  • how much does it cost to make a smart phone