Apple Watch has lowest hardware cost to price: IHS
By Reuters
Apr 30, 2015 09:24 PM EDT
Regions
A customer and a staff member speak in front of a sample Apple Watch on a lightbox advertisement photograph at the Apple Store in Covent Garden in London, April 10, 2015.
(Photo : Reuters)
(Photo : Reuters)
Apple Inc's Watch has the lowest ratio of hardware costs to retail price across any Apple phone, according to a preliminary estimate by research firm IHS after a teardown study.
The hardware cost of an Apple Watch Sport model was about 24 percent of the suggested retail price compared with 29-38 percent for the iPhone maker's other products, IHS said on Thursday. (bit.ly/1zuOZMq)
The Apple Watch Sport 38 mm costs $349 and the teardown shows a bill of materials of $81.20 with the cost of production rising to $83.70 when $2.50 in manufacturing expense is added, IHS said.
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