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The iPhone SE Costs Apple About $160 to Build [Report]

The iPhone SE Costs Apple About $160 to Build [Report]

Posted April 4, 2016 at 6:35pm by iClarified
The 16GB iPhone SE costs Apple about $160 to build, according to the latest IHS report.

The U.S. version of an entry-level iPhone SE with 16 gigabytes (GB) of NAND memory carries a bill of materials (BOM) of $156.20, which rises to $160.00 when the manufacturing cost is added, according to results from the IHS teardown of a phone purchased from the Apple Store on March 31, 2016. The retail price of the iPhone SE 16GB model is $399.

“The iPhone SE represents an amalgamation of three iPhone generations -- iPhone 5s, iPhone 6 and iPhone 6s -- rolled into something altogether new,” said Andrew Rassweiler, senior director of cost benchmarking services at IHS. “Despite its physical resemblance to the iPhone 5s, the resulting product is far superior. In fact, the only significant tradeoffs a consumer would make with the iPhone SE against the iPhone 6s is smaller size and lower screen resolution.”

The IHS teardown revealed that the iPhone SE borrows many of the same -- or at least extremely similar -- components from three previous phone generations, as follows:

● iPhone 5s: The overall iPhone SE design envelope is very similar in to the iPhone 5s, which launched in 2013. “The size and resolution of the display are the same between the iPhone SE and iPhone 5, though the mechanical components such as the enclosure have been slightly modified,” Rassweiler said.

● iPhone 6:. The iPhone SE shares many of the same radio-frequency (RF) components used for LTE connectivity and uses the same Qualcomm (MDM9625) solution found in the iPhone 6. Depending on the model, the iPhone SE’s cost and performance-optimized RF section supports up to 18 global LTE bands, which is about the same as the iPhone 6 but less than the current 6s. The iPhone SE also shares the iPhone 6 1.2 megapixel secondary camera.

● iPhone 6s: The iPhone SE uses the same A9 applications processor with dynamic random-access memory (DRAM) to support interactive gaming and other processor-intensive applications. The 12 megapixel primary camera module is also the same in both the iPhone SE and the iPhone 6s.

IHS estimates that Apple makes approximately $89 in incremental profit for each iPhone SE 64GB sold when compared with the iPhone SE 16GB. The smartphone's four-inch Corning Gorilla Glass display with integrated, in-cell touch sensing is said to cost $20, less than half the cost of the same display in the iPhone 5s, when it was originally released. On average, 40 percent of iPhone displays are sourced from Japan Display, 35 percent from LG Display and 25 percent from Sharp.

Check out the charts below for more details...

The iPhone SE Costs Apple About $160 to Build [Report]

The iPhone SE Costs Apple About $160 to Build [Report]
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Comments (9)
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Jenny Jonson
Jenny Jonson - May 10, 2016 at 9:56am
I dont think so...! It is available on some sites within 150 so how is it possible? I mean check yourself: wantITbuyIT,com
gamerscul9870 - April 5, 2016 at 2:06pm
Still a win costly or not for such a huge upgrade!
Dante033 - April 5, 2016 at 1:30pm
Still a joke we pay how many $$$$ when it only costs that much.
nocci - September 29, 2018 at 12:22pm
And we pay for the materials used to make it the production, the time, and the effort that also went into this. Not a joke now is it?
ItsaJoke - April 5, 2016 at 8:54am
it Flintstone phone
gamerscul9870 - April 5, 2016 at 12:03pm
Correction: Jetsons phone!
Gilbert GOLDMAN - April 4, 2016 at 11:24pm
Is this just the cost of parts have you considered cost of production, packaging transportation sales advertising and customer service that are also factors in cost of the phone??
Yeah - April 4, 2016 at 8:47pm
Well that makes me feel good especially since I forked over 400 bucks for it
gamerscul9870 - April 4, 2016 at 11:32pm
It involves carriers and the uncarrier to, but when this is available for those key master related machines, I can hopefully try my new trick to win almost any prize from them when the time comes.
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