Price cuts on Apple iPhone likely
Jan 19, 2007
Apple will likely have some wiggle room to cut retail prices on the iPhone, if a report from iSuppli proves correct.
The consulting firm on Thursday released an analysis of what the total component budget will likely be for the Apple iPhone. The $499 iPhone, which comes with 4GB of memory, will likely have a component budget of $229.85. Assembly costs will raise the total manufacturing price to $245.83, according to the analysis.
Meanwhile, the $599 iPhone, sporting 8GB of memory, will have a component budget of $264.85, with a total manufacturing cost of $280.83, according to the report.
The large margins make price cuts inevitable…