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Apple’s latest top-of-the-range iPhone, the iPhone 14 Pro Max, costs around $454 for the tech giant to manufacture, according to a new report from Counterpoint Research. This figure represents a 3.4% increase on the cost of manufacturing the iPhone 13 Pro Max, which it replaces.
The report suggests that the A16 Bionic chip that powers the iPhone 14 Pro Max costs around $11 more per unit than the A15 Bionic chip used in the previous model, which accounts for 20% of the device’s total materials cost. The estimated cost to produce a 128 GB iPhone 14 Pro Max is $474, compared to the device’s retail price of $1,099.
It is important to note that the “blended bill of materials” provided by Counterpoint Research does not include additional costs such as research and development, assembly, marketing, or distribution. Therefore, the overall cost to produce an iPhone from start to finish will be much higher than the manufacturing cost alone.
Apple does not disclose its manufacturing costs, so it is difficult to verify the accuracy of the report. However, the estimated cost does provide some insight into the company’s production costs and pricing strategy.
Despite the high manufacturing cost, the iPhone 14 Pro Max has been well received by consumers, thanks to its advanced features and capabilities. With its A16 Bionic chip, high-quality camera, and 5G capabilities, the device is one of the most powerful and advanced smartphones on the market.
