Technology

How Much Does It Cost To Make An iPhone 12 Pro? Price Is Less Than MRP Of Premium Range Smartphones


New Delhi: The Apple iPhones are one of the most desired phones, that everyone wants to have in their pockets. Recently, the tech giant launched the 12th flagship series of the iconic iPhone in October this year. The Apple iPhone 12 comes in 4 variants – iPhone 12, 12 mini, 12 pro and 12 pro max, with price starting from Rs 69,999 and going up to as much as Rs 1,49,999 in India.

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However, according to the Japanese teardown experts Fomalhaut Techno Solutions stated that with such hefty pricing, the Apple iPhone 12 which is positioned in the premium smartphone range, may not be that expensive to build.

In collaboration with Nikkei Asia, Fomalhaut Techno Solutions released their report on the bill of materials (BoM) for the iPhone 12 and iPhone 12 Pro, which provides a close approximation of the component costs of building the two phones. According to the report, the iPhone 12 BoM costs $373 (roughly Rs 27,550), while the iPhone 12 Pro’s BoM is $406 (roughly Rs 30,000).

Comparing to the retail prices of the Apple iPhone 12 and iPhone 12 pro that starts from $799 and $999 in the US, the BoM is less than half the MRP of the premium range smartphones.

It is also worth mentioning that beyond the cost of BoM, there are several other costs Apple has to observe before finalising the price of the complete product such as taxes, marketing, research and development, customer support, etc.

In the BoM, the most expensive products are the Samsung built OLED display screen that costs around $70, the Qualcomm X55 5G modem on the iPhone 12 series costs $90. While, parts like RAM and flash memory are said to cost $12.8 and $19.2 per unit, and finally the Sony camera sensors on the new iPhone 12 phones range between $7.4 and $7.9 per unit.

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Another interesting thing that the report stated is a chart that shows the regions from where the parts are sourced for the final product. The chart stated that for iPhone 12, 26 per cent of the parts came from South Korea, 21.9 per cent from the United States and 13.6 per cent from Japan, while the smartphone was assembled in China.

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