Apple expenses at the very least $1,099 for the iPhone 14 Professional Max. However how a lot does it really value the corporate to supply its flagship cellphone? Whereas Apple doesn’t disclose its revenue margins or manufacturing prices, we all know that in Q1 2023, its merchandise’ gross margin was 37%.
In keeping with a Counterpoint Analysis report, the iPhone 14 Professional Max prices Apple as much as $464, which is 3.7% greater than it value the corporate to make the iPhone 13 Professional Max. Its mmWave model, for instance, is $10 extra.
Counterpoint values the price of the iPhone 14 Professional Max by the blended invoice of supplies (BoM). Whereas a number of parts have been method cheaper than in earlier generations, the brand new processor and a brand new digicam panel have been accountable for the value improve.
The report highlights that the 5G expertise prices Apple lower than it did because it turned extra common. Diversifying provide chain sources additionally helped the Cupertino agency to safe the most effective costs. Then again, the parts that received costlier weighted extra on stability.
- The show now accounts for 20% of the overall value. Because of the new Dynamic Island cutout and the At all times-On show expertise, the iPhone 14 Professional Max is costlier than its predecessor;
- The brand new A16 Bionic, which is product of 16 billion transistors, can also be 6.7% costlier than the A15 Bionic chip that powers the iPhone 13 and the common iPhone 14 fashions. It’s estimated that producing the brand new processor prices $11 extra.
- Final however not least, the brand new 48MP lens with a quad-pixel picture sensor, the brand new sensor-shift stabilization, and the improved front-facing digicam have been additionally accountable for this value improve.
That stated, wouldn’t or not it’s good to pay underneath $500 for the top-tier iPhone of the yr? Nonetheless, it’s necessary to notice that the parts are usually not the total image of the smartphone value, as Apple has to develop a lot of the applied sciences, together with, in fact, the software program.
With rumors saying the iPhone 15 Professional Max/Extremely may have a periscope lens and a brand new titanium end, we’ll must see if different parts will make this iPhone value kind of to Apple.
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