Apple is seen as a symbol of achievement. If you have an apple product then you’re somehow considered a person of luxury; mainly the iPhone. It’s entirely because of how premium it looks and feels and no doubt the high cost of the product which is beyond the reach of normal consumer.
But is it really worth the price we’re paying for? With the recent teardown of the new iPhone 6S. It is estimated that the cost of solely making an iPhone 6s is just around $234 without counting manufacturing and distribution costs. Note that the cost of unlocked 64GB iPhone6s is $749 which is completely insane with the profit of around ss$515 in every single phone. Apple sells millions of iPhone every year, no wonder it is the most profitable business in the history of mankind.
Here are the list and price of items used in iPhone 6s.
- $8 to $11 for assembly and testing
- $20 for 64GB flash memory
- $22 for sensors like NFC, fingerprint etc
- $25 for the new A9 processor
- $33 for the case of phone
- $73 for screen, camera, and battery
- $127 for semiconductor pieces
Despite all the new changes and improvement in the new iPhone 6s, it costs little over $28 more than the iPhone 6 to make one.
Note that the 64GB flash memory only costs $20 but people have to pay $100 extra cash who aren’t satisfied with the 16GB storage.
Even with the overall improvements made in the new iPhone and more sophisticated components used, Apple is able to cut down the increased costs. This implies to all the Apple products, their profit margin is just too damn high.
But to sum it all up, the user experience that Apple provides is simply irreplaceable. No wonder millions of people are loyal to Apple and use only their products. And now with the launch of iOS 9, Apple is more user friendly and more new features has been introduced which makes it a charm to use.