iSuppli Revises Entry-Level iPad Component Cost Estimate Up to $260
Just two weeks after Apple introduced the iPad at a special media event, research firm iSuppli estimated the component costs for the entry-level 16 GB Wi-Fi iPad at about $219, compared to its retail price of $499. iSuppli's estimates offered some indication of a healthy profit margin for Apple on the device, although numerous other expenses such as research and development, marketing, and licensing were not included in the study.
Now that the iPad has been released in the United States, Bloomberg BusinessWeek reports that iSuppli has been able to actually tear the device apart to generate a revised estimate of nearly $260 for the entry-level model's component costs. The $40 increase over earlier estimates is due to several factors, including the use of more chips than originally thought.
Once it took one apart, iSuppli found more silicon chips than it had expected powering interactions with the iPad's 9.7-inch screen. Apple uses three chips to control the iPad's touchscreen, for example. "Because of the sheer scale of this device, we're seeing more here than we expected to," says Rassweiler.
The most significant single price bump, however, appears to be the iPad's touchscreen, which checks in as a $95 part and up $15 from the company's earlier estimates.
iSuppli last week predicted that the iPad could sell 7.1 million units worldwide in 2010, increasing to 14.4 million in 2011 and 20.1 million in 2012. The estimate, which the company calls "conservative", is based on a belief that compelling new applications will rapidly come to the iPad while features are added and price points decline over time.
Popular Stories
Apple will adopt the same rear chassis manufacturing process for the iPhone SE 4 that it is using for the upcoming standard iPhone 16, claims a new rumor coming out of China. According to the Weibo-based leaker "Fixed Focus Digital," the backplate manufacturing process for the iPhone SE 4 is "exactly the same" as the standard model in Apple's upcoming iPhone 16 lineup, which is expected to...
Apple typically releases its new iPhone series around mid-September, which means we are about two months out from the launch of the iPhone 16. Like the iPhone 15 series, this year's lineup is expected to stick with four models – iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max – although there are plenty of design differences and new features to take into account. To bring ...
A widespread system failure is currently affecting numerous Windows devices globally, causing critical boot failures across various industries, including banks, rail networks, airlines, retailers, broadcasters, healthcare, and many more sectors. The issue, manifesting as a Blue Screen of Death (BSOD), is preventing computers from starting up properly and forcing them into continuous recovery...
Israel-based mobile forensics company Cellebrite is unable to unlock iPhones running iOS 17.4 or later, according to leaked documents verified by 404 Media. The documents provide a rare glimpse into the capabilities of the company's mobile forensics tools and highlight the ongoing security improvements in Apple's latest devices. The leaked "Cellebrite iOS Support Matrix" obtained by 404 Media...
Apple is seemingly planning a rework of the Apple Watch lineup for 2024, according to a range of reports from over the past year. Here's everything we know so far. Apple is expected to continue to offer three different Apple Watch models in five casing sizes, but the various display sizes will allegedly grow by up to 12% and the casings will get taller. Based on all of the latest rumors,...
If you have an old Apple Watch and you're not sure what to do with it, a new product called TinyPod might be the answer. Priced at $79, the TinyPod is a silicone case with a built-in scroll wheel that houses the Apple Watch chassis. When an Apple Watch is placed inside the TinyPod, the click wheel on the case is able to be used to scroll through the Apple Watch interface. The feature works...
