The Factory Price of an Iphone
31What is the Factory cost of an Iphone, The True Cost of the iPhone?
Every year companies like iFixit and Techinsights tear down each new model of the iphone to ascertain the cost of components, but it’s a bit difficult to track exactly what the cost of these components are. The design of every new iPhone starts at Apple’s headquarters in Cupertino, California, but the resources needed to make this design a reality come from over 43 countries and 6 continents, Apple like every other phone maker depends largely on outside manufacturers for ready made components for the iphone, Jim Morrison who is the VP at Tech insights explained to CNBC in 2018 that in the case of the apple A12 bionic chip on the iphone iphone X, the chip was desined by Apple in their Cupertino headquarters, then it was outsourced to TSMC in Taiwan, from there it was taken to the philippines where packaging and final testing was done by Amkor, it was then sent to China where it was assembled into the iphone by Foxconn or Pegatron in Taiwan. Each year Apple posts a list of suppliers for the Iphones on their website but they don’t specify which supplier makes which part, but from teardowns tech experts are able to identify some key components in the iphone. Apple even gets supplies from their strongest competitors and arch rivals like Samsung, Intel and Qualcom, this though depends on who wins the bidding for a particular component, for instance Intel supplied the 4G modem chips in the iphone 11 but the 5G modems in the iphone 12 were supplied by Qualcomm.
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