iPhone 6 tear down

IHS Technology dissection of Apple iPhone 6 Plus reveals that it costs $100 more but only $15.50 more to make.

0 September 24, 2014
by The Canadian Press

14-sept-iPhone-6-tear-down-360SAN FRANCISCO — Apple’s largest iPhone is selling for $100 more than its other new model, but an outside research firm estimated Tuesday that it costs Apple only $15.50 more to make the more expensive version.

Apple said it sold more than 10 million of the new iPhone 6 and iPhone 6 Plus models in their first three days on sale. Both have larger screens than earlier iPhone models, and analysts say consumers like the new, bigger sizes. The Plus has a 5.5-inch screen, as measured diagonally, while the regular iPhone 6 is at 4.7 inches.

The new iPhones went on sale Friday and address a key advantage rival Android phones have long had: size. The iPhone has been Apple’s main source of profits and is expected to remain so for at least the next year.

(Graphic source: IHS Technologies)

(Graphic source: IHS Technologies)

Apple will make more profit on the Plus version, according to a report from research firm IHS Technology. The full, no-contract price for the 16-gigabyte iPhone 6 is $650. IHS estimates it costs Apple $200.10 for materials and manufacturing. The iPhone 6 Plus retails for $750 without a contract, but IHS says it costs Apple $215.60.

With a two-year service contract with a wireless carrier, a 16-gigabyte iPhone 6 costs consumers $200. An iPhone 6 Plus costs $300 with a contract.

The Plus model also has a bigger battery and a slightly more expensive camera than the regular iPhone 6, according to IHS.

For a complete overview of the iPhone 6 and 6 Plus construction, check out the IHS breakdown online or Chipworks’ microscopic analysis of each iPhone 6 component.

© 2014 The Canadian Press

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