Hardware inside Apple iPhone 5C and 5S; teardown analysis by IHS

Mobile phone designers around the world always eager to know what is the latest technology/device used by Apple in the latest iPhone models. Teardown analysis help them to save money and time from buying the iPhone and breaking it to know what parts it is made up of. IHS provide Teardown analysis of latest Apple products, soon after their launch. IHS has released the teardown analysis of iPhone 5C and 5S. In iPhone 5C, IHS finds the total cost of the bill of materials is US dollar 166 and the cost of manufacturing is US$7, this is for 16 GB version, the 32 GB version costs another $10 more. Below is the cost analysis provided by IHS on the Apple iPhone 5C model. While this is considerably less than the $197 BOM and manufacturing cost for the original 16-GB iPhone 5 based on the final results of the IHS teardown conducted one year ago, it’s still on the high end for a smartphone. To attain the cost and pricing required to merit low-end pricing of $400, while maintaining Apple’s customary high hardware margin, the combined BOM and manufacturing expense for the iPhone 5c would have had to amount to about $130. “Many expected Apple to take an affordable strategy with the iPhone 5c, producing a lower-cost smartphone that would be priced at around $400 in order to address developing markets, such as China,” said Wayne Lam, senior analyst for wireless communications at IHS. ...