The U.S. investment bank TD Cowen has published a report ( viaAppleInsider ) breaking down the case-by-case character of the iPhone 16 handsets and analyze their respective costs . This bank bill of material , or BOM , reveals the gimmick ’s pure manufacture cost . ( There are obviously other disbursement , from R&D to marketing and merchant marine . But this is how much it be to make . )
study on to educate yourself . With this knowledge you could amaze your Android - using friends and , who knows , perhaps even convince them to switch to the iPhone . Well , probably not . But at least you ’ve put the facts on the board .
iPhone 16 costs more than iPhone 15… but not by much
The Japanese daily newspaper Nikkei , which wequoted[translation ] last year when discussing the fabrication costs of the iPhone 15 , was surprised at the time that significant increases in product costs had not cause the sale price to go up . The newspaper prefigure that Apple would have to raise prices when it launched the iPhone 16 … but fortunately , the author were unseasonable with this prediction . As we now know , Apple is stick to the same Leontyne Price for another class .
This is despite the fact that product price have climb again , albeit only marginally . For good example , from $ 395 for the standard iPhone 15 to $ 416 for the iPhone 16 : an growth of $ 21 or 5 pct .
The single expectant expense in the BOM is the display at $ 65 . But the largest relative price increase is the RAM , which to support Apple Intelligence has been bumped from 6 GB to 8GB – and this means a whopping 89 percent Leontyne Price rise , from $ 9 to $ 17 . The jump from the A16 to the A18 cow chip , meanwhile costs an superfluous $ 10 , and the new controller ( Camera Control and the Action push ) only $ 3 in aggregate . And several components have in reality gone down in Mary Leontyne Price , admit the display , which cost $ 3 more in the previous propagation .
Material costs for the iPhone 16 and iPhone 15.
Here ’s how the costs didder out for the standard models this twelvemonth and last class :
cloth cost for the iPhone 16 and iPhone 15 .
TD Cowen
Material costs for the iPhone 16 and iPhone 15.
What about the iPhone 16 Pro Max?
The iPhone 16 Pro Max also costs more to manufacture than its contiguous predecessor , but again the increment are manageable . First place in the list of monetary value is shared by the rearward photographic camera and the display , at $ 80 each , while RAM is again the largest relative increment . It ’s lead up by 41 percent , from $ 12 to $ 17 , even though the amount of RAM has n’t give way up ; the 15 Pro Max also came with 8 gigabyte . Rather , the price rise this yr is due to the technology : LPDDR5 was used in the 15 Pro Max whereas the debauched LPDDR5X appears in the 16 Pro Max .
Overall , the iPhone 16 Pro Max is $ 32 more expensive to cook up than the iPhone 15 Pro Max , with TD Cowen attributing 40 pct of this to inflation and 60 percent to new constituent .
How reliable are these numbers?
Before you rush off to boast about Apple ’s generousness in keep prices level despite uprise costs , a parole of warning : not everyone agrees on the numbers racket . In fact , TD Cowen ’s estimates disagree significantly from those made by Nikkei andFomalhaut Techno Solutions .
For example , Nikkei and Fomalhaut estimate the video display in the iPhone 15 Pro Max at $ 115 , compared to TD Cowen ’s $ 75 . The difference is even greater for the chip : TD Cowen gauge $ 40 , Nikkei a whopping $ 130 . Overall , Nikkei ’s estimate for the iPhone 15 Pro Max is 23 percentage higher than TD Cowen ’s .
The disparity is probably due to the different backgrounds of the society : TD Cowen is an investiture money box , while Fomalhaut Techno Solutions specializes in taking apart electronics , trace the individual components back to their manufacturing business , and then estimating their damage .
This article originally appear on our sister publicationMacweltand was transform and localized from German .
