iPod touch why 3 times cheaper ?

[UKBeast]

Why ipod touch is 3 times cheaper than an ipod touch phone enabled version which is called iphone ?

The only major difference phone functionality apart from gps. It does not sound rational to pay 3 times of the same hardware with added phone function.

 

[jeremyshaw]

Why ipod touch is 3 times cheaper than an ipod touch phone enabled version which is called iphone ?

The only major difference phone functionality apart from gps. It does not sound rational to pay 3 times of the same hardware with added phone function.

A4 vs A5 SoC
Qualcomm radio baseband chip (also has the GPS built into this)
certification with national certs (FCC, in the US)
certification with carriers (Verizon, AT&T, Sprint)
Cheaper TN vs IPS screen panel (also higher power draw of IPS setup, due to inherently greater opacity of IPS)
larger battery
more RAM, base storage

^^All exact reasons why the iPhone is more expensive than the iPod touch, beyond less clear ones, such as marketing.

Also, I'd venture the iPhone soaks up most of the development costs, while the iPod touch mostly benefits from the R%D already sunk into the iPhone.

 

[greg555]

Price is not determined by the cost to produce (think Coca Cola). Prices are set by companies to maximize their profits.

 

[Jessica Lares]

The iPhone has a better camera too.

 

[Primejimbo]

A4 vs A5 SoC
Qualcomm radio baseband chip (also has the GPS built into this)
certification with national certs (FCC, in the US)
certification with carriers (Verizon, AT&T, Sprint)
Cheaper TN vs IPS screen panel (also higher power draw of IPS setup, due to inherently greater opacity of IPS)
larger battery
more RAM, base storage

^^All exact reasons why the iPhone is more expensive than the iPod touch, beyond less clear ones, such as marketing.

Also, I'd venture the iPhone soaks up most of the development costs, while the iPod touch mostly benefits from the R%D already sunk into the iPhone.

Some of this wasn't true a few years ago. I think they both had the same RAM and processor at 1 point.

 

[Carlanga]

besides what has been said:
Since the iPhone uses one slot for the phone and the other for the flash memory, the memory modules are more expensive since it's one piece. Memory tends to increase price pretty fast when doubling in one stick.

Example:
iPod Touch: 8 stick + 8 stick flash memory for total of 16
iPhone: 16 of flash memory stick

 

[xPurpleblob]

Are you 10