this post was submitted on 06 Oct 2024
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Apple

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[–] simplejack 20 points 3 days ago* (last edited 3 days ago) (1 children)

For those who like to comment without reading the post :/

The figures from TD Cowen say that a 256GB iPhone 16 Pro Max costs Apple about $485 to manufacture, including the components, box, and assembly process. By comparison, the iPhone 15 Pro Max had a so-called Bill of Materials (BOM) of $453, about $32 cheaper than the newer model.

[–] slaacaa 19 points 3 days ago (1 children)

And let’s not forget R&D costs or other investments (e.g. stores).

I’m no way defending them, they make a shitload of money on each phone, but they are still very expensive to make.

[–] Zanz 4 points 3 days ago* (last edited 3 days ago) (1 children)

Standard markup is about 100% on electronics from the bom cost, but things on a closed ecosystem that are supposed to make their money back in software and service licensing or normally so close to the cost. On something like a game console you are looking at a 10 to 15% mark up at retail. The wholesale price is very close to the bill of materials. The only company that really sticks out is Nintendo who sells at a 15 to 20% markup wholesale and then never lowers the price.

The really insulting thing about how Apple does it is the they add a 500 to 1000% mark up for storage ram upgrades. They even kept using 8 GB on the MacBooks when it was cheaper to run 12 or 16 GB ram ICS for the package size they were using.

[–] [email protected] 3 points 2 days ago

Wait, where did you find out that 8GB of ram is more expensive to manufacture?