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We like the phones. Not your doom and gloom tinfoil hat which makes you feel like you are smart because you see the matrix and no one else does. carry on....

btw we all care about money, not large corporations. Have a job? Why? Why not live in a van down by the river? Dont like the job? OK, open your own business. What? You have to make a profit? Ohhhhh nooooooo!!!

Kill yourself now.
Harsh.
 
We like the phones. Not your doom and gloom tinfoil hat which makes you feel like you are smart because you see the matrix and no one else does. carry on....

btw we all care about money, not large corporations. Have a job? Why? Why not live in a van down by the river? Dont like the job? OK, open your own business. What? You have to make a profit? Ohhhhh nooooooo!!!

Kill yourself now.

The truth appears to make you quite upset. Interesting.

As for killing myself... please. End a life over this ********? What sort of twisted world do you live in?
 
Not at all.

There are plenty of options in the cell phone market that provide to the customer identical user experience. And or at least, functionality.

Hell, an old Blackberry still makes phone calls, handles texts, emails, etc. with ease.

The attraction of an iPhone over a cheaper, easier to get Android device is that it is made by Apple.

The only counter argument would be investement in ecosystems. Assuming you've invested hundreds, or thousands into iOS applications. BUT, if thats the case, again, all that means is Apple has you locked in and as such can charge whatever they want.

The freedom for the consumer has never been more large, the choice made is made through emotional needs, not rational ones.

Oh the irony...

You know what need is emotional? Your need to feel better about yourself by acting like everybody who made a different choice than you necessarily did it for the wrong reasons.

The very fact you need to do this shows you're actually insecure about your purchase and/or how people perceive you because of your purchase. You do not seem to be someone who acts purely rationally yourself, so it's hard to take your comment seriously.
 
$200 is actually pretty high. People are not factoring in the fact that the iPhone is what makes Apple the most money. Its their most popular product by far and as such it is the reason why Apple accounts with so much retail space around the world. It is not just R&D what we are missing here, we are also ignoring:

- Retail space
- Employees salaries
- Returns
- Fixes
- Advertising
- Shipping & Handling(all the way from China)
- Legal

I believe Apple is making the least profit ever off the iPhone 6. That is why the kept the 16Gb around, with the hopes that people will give them another $100 for the 64Gb.
 
Yes, because a "ziploc bag of parts" (some manufactured by means ONLY Apple has) is Apple's full cost.

There is no cost to transport those parts. No cost to assemble them. No cost to provide support for them. No cost to market and package them. No cost to transport and store them around the world. No R&D cost to develop the device in the first place. No cost to develop the OS or the apps. No cost for bandwidth. No cost for the cloud services behind it all. No insurance, no taxes, no patent fees. JUST a bag of parts.



"Correctly assumed" is wrong: iSuppli does NOT know Apple's R&D details. They don't know much--they guess as best they can at certain elements, because it's free publicity for them.


also missing: Jony Ive's paycheck
 
:D

Remember, all of these large corporations care for one thing and one thing only... money.

The rest is an illusion perpetuated by their own exclusive fan base.

Apple fans are convinced that Jobs and now Cook really care about them as people. And through that, want to provide their customers a personalized welcoming experience. The reality is, that's all imaginary. All they want is to turn huge profits, make their stock holders happy and keep their jobs for as long as possible.

*REALITY

Right to the point, and truth. Particularly obvious with the 1 GB of RAM thing. Greed, greed, greed.

That my money ends up rewarding rich people with dividends on Apple stock, or in Dr. Dre's pocket, feels depressing.

But on the other hand, I haven't bought an iPhone for years, so they aren't getting my money... :D
 
Apple fans are convinced that Jobs and now Cook really care about them as people. And through that, want to provide their customers a personalized welcoming experience. The reality is, that's all imaginary. All they want is to turn huge profits, make their stock holders happy and keep their jobs for as long as possible.

*REALITY

Apparently, some are convinced that all "Apple fans" have a cuddly cozy relationship with their lumps of metal and glass that were crafted by Chinese laborers who couldn't afford to purchase the devices they assemble, and that these Apple fans delude themselves with having some sort of emotional connection to a profit-minded CEO, or some dead guy, merely because those Apple fans bought their products.

And in some vain attempt to bring meaning into they empty lives, these same people assume that they can inject "reality" into the discussion so that Apple fans can feel as miserable as they do.

When the actual reality is, some of us just buy the phones because they work. That's all.
 
Completely pointless test, as it's doesn't capture R&D costs.

You might as well price up raw glass, metal and plastic...

Every single time, somebody has to make that utterly obvious statement, and every time they're just as wrong as you. Component costs are interesting to know. It's just not the whole story. But it's one part of the whole story that we didn't know before.
 
When do you think Apple reports R&D costs for the Watch?

It is in the $4.3 billion number. They don't break down what they spend their R&D money on. But they are required by securities laws to accurately report all of their R&D expenses. R&D has been growing quickly and I suspect that a good portion of that growth has been watch related.

Though that public information was for the quarter ended June 30. So we are nearly at the end of the next quarter. That will get reported in November. So we might see another uptick for R&D that is related to the watch. But we won't know what percentage of the total cost is watch related. We will just have to guess.
 
These component cost articles by iSuppli are a complete and utter waste of time and give no indication of the real cost to manufacture an iPhone (or anything else for that matter)

On top of the (estimated) raw material costs you have R&D costs, manufacturing costs, transportation costs, staff costs, retail costs, returns, etc, etc.

Put it this way - I'd challenge anyone to make themselves an iPhone for $200!
 
Ok I didn't know they spend that much. That's actually quite a lot but it still will be let's say $25 per device for R&D. Add $75 for advertizing, shipping, patents etc, and you're at $300 For a device they sell at $650 in the US, and much more in many other countries. Pretty impressive margins.

Well Apple's R&D has grown very quickly. Just a few years ago it was less than $2 billion a year.

But I suspect a lot of this growth is not directly related to the iPhone and in particular to this year's iphone. I don't think these phones are technical marvels outside of the CPU. The rest of the stuff in them is probably old hat for Apple at this point.
 
Completely pointless test, as it's doesn't capture R&D costs.

You might as well price up raw glass, metal and plastic...

It doesn't factor in R&D, stocking, shipping, packaging, Apple Care, and many other costs we can't think of.
 
Completely pointless test, as it's doesn't capture R&D costs.

No, but it does quantify the incremental cost for each unit. Past R&D is a "sunk cost", but acquisition of additional inventory is "prospective cost".
 
Regardless of the materials cost for the iPhone, Apple's net profits are in the 35% range, and that is huge.
 
Without physically opening up your phone, is there a way to tell whether you got a TSMC or Samsung chip?


What difference does it make?

----------

Too bad there isn't a way to guarantee one could purchase an A8 from TSMC. Why would anyone want to support one of Apple's biggest rivals, who probably just take the profits from manufacturing A8s and create anti-Apple ads.


If Apple is willing to pay them for the parts why should you care?
 
:D

Remember, all of these large corporations care for one thing and one thing only... money.

The rest is an illusion perpetuated by their own exclusive fan base.

Apple fans are convinced that Jobs and now Cook really care about them as people. And through that, want to provide their customers a personalized welcoming experience. The reality is, that's all imaginary. All they want is to turn huge profits, make their stock holders happy and keep their jobs for as long as possible.

*REALITY
You're writing as though you believe a large corporation is an organism and that it actually *cares* about anything at all. That's not reality.

A corporation is a collection of people who each have their own motivations. There are programmers and designers who care more about delivering a quality product than they do about lining their own pockets. And there are engineers who care about keeping the designs within the realm of technical possibility. And there are managers and accountants whose job it is to keep the products profitable. And there are market researchers who try to keep the products marketable. And there are human resource managers who try to keep these various people within the corporation happy.

A particular corporation has its own "culture", which could be described as the mixture of these (and other) types of people, and how much power they have. No two companies have exactly the same culture, so it's a lie to claim that every big corporation "wants" exactly the same thing. No company is truly monolithic, any more than you could say that the market for their products is monolithic.
 
Apparently, some are convinced that all "Apple fans" have a cuddly cozy relationship with their lumps of metal and glass that were crafted by Chinese laborers who couldn't afford to purchase the devices they assemble, and that these Apple fans delude themselves with having some sort of emotional connection to a profit-minded CEO, or some dead guy, merely because those Apple fans bought their products.

And in some vain attempt to bring meaning into they empty lives, these same people assume that they can inject "reality" into the discussion so that Apple fans can feel as miserable as they do.

When the actual reality is, some of us just buy the phones because they work. That's all.

Apple fans come from all walks of life, each with their own hopes, dreams, abilities, and desires.

On the other hand, people who criticize Apple fans are all alike. Seriously, if you put them in a police lineup, you wouldn't be able to tell one from another.
 
Until I see photographic evidence of a samsung die, I seriously doubt any A8 chips are fabbed by Samsung. Samsung and TSMC have different design rules, and it would be extremely difficult for Apple to design for both sets at once, and the chip would be inefficient if they designed to the least common denominator.
 
Until I see photographic evidence of a samsung die, I seriously doubt any A8 chips are fabbed by Samsung. Samsung and TSMC have different design rules, and it would be extremely difficult for Apple to design for both sets at once, and the chip would be inefficient if they designed to the least common denominator.

Agreed. I hope Chipworks tries to acquire one of these devices.
 
Right to the point, and truth. Particularly obvious with the 1 GB of RAM thing. Greed, greed, greed.



That my money ends up rewarding rich people with dividends on Apple stock, or in Dr. Dre's pocket, feels depressing.



But on the other hand, I haven't bought an iPhone for years, so they aren't getting my money... :D


'They' always get your money, one way or another.
 
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