Apple’s iPhone 16 handsets are a bit more costly to produce, but the difference between the iPhone 15 and the iPhone 16’s production cost isn’t dramatic.
A cost analysis performed by TD Cowen has stated 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.
The non-Pro models are a bit pricier, as the iPhone 16 BOM has risen up to $416. The iPhone 15 BOM was $395, approximately $21 cheaper per handset.
The priciest components for the iPhone 16 Pro Max come in at a tie between the display and the rear camera module, which weighs in at $80, or 16 percent of the total cost. The camera is also the component that got the biggest increase at $10 over the previous generation.
While remaining the same in quantities, the memory and storage in the Pro Max have increased by the highest amounts relative to their cost. Each rose by $5 to $17 and $22 respectively.
Where the processor is concerned, the A18 weighed in at $45 as opposed to the $35 price tag for the A16. The addition of the Camera Control and Action Button adds $3 to the Sensors list.
The TD Cowen report also stated that there were no changes to build estimates in the supply chain for the second half of 2024.
Stay tuned for additional details as they become available.
Via AppleInsider