Did you know Apple pays Foxconn $20-25/phone to make an iPhone??![]()
So? That's the per-unit price they pay for manufacturing. Estimates include the cost of labor associated with assembly at between $4 and $4.50 for each device, which means Foxconn is raking in the profits along with Apple. Actual parts cost roughly $200-$250. The rest is R&D, which is a huge expense, marketing, shipping, and, of course, a big fat profit margin.