Thursday, December 18, 2014
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
Facebook And Android Top Digital Trends For 2014
Your Next Car Could Have Android Inside
North Korea Linked To Recent Sony Hacking
Sony Global Education Established
CEA and Japan Audio Society to Jointly Promote Hi-Res Audio
Intel, IBM Follow Different Strategies On 14nm FinFET
Toshiba Announces 6TB Enterprise Capacity HDD Models
WebOS 2.0 Smart TV Platfom To Debut At CES
Active Discussions
Windows xp
Will there be any trade in scheme for the coming PSP Go?
Hello, Glad to be Aboard!!!
Best optical drive for ripping CD's? My LG 4163B is mediocre.
Hi All!
cdrw trouble
CDR for car Sat Nav
DVD/DL for Optiarc 7191S at 8X
 Home > News > Mobiles > Apple C...
Last 7 Days News : SU MO TU WE TH FR SA All News

Wednesday, September 25, 2013
Apple Continues Familiar Design and Pricing Strategy with iPhone 5c


The iPhone 5c turned out to follow Apple's familiar formula, combining premium pricing with a hardware design almost completely identical to the original iPhone 5, according to preliminary results from a teardown analysis by IHS.

The low-end model of Apple's iPhone 5c with 16 gigabytes (GB) of NAND flash memory carries a bill of materials (BOM) of $166, based on a physical dissection of the production. The cost rises to $173 when the $7 manufacturing expense is added in. The 32-GB model carries a combined cost of $183.

While this is considerably less than the $197 BOM and manufacturing cost for the original 16-GB iPhone 5 based on the final results of the IHS teardown conducted one year ago, it?s still on the high end for a smartphone. To attain the cost and pricing required to merit low-end pricing of $400, while maintaining Apple?s customary high hardware margin, the combined BOM and manufacturing expense for the iPhone 5c would have had to amount to about $130.

"Many expected Apple to take an affordable strategy with the iPhone 5c, producing a lower-cost smartphone that would be priced at around $400 in order to address developing markets, such as China," said Wayne Lam, senior analyst for wireless communications at IHS. "However, the reality of the iPhone 5c is completely different, with Apple offering a phone with a $173 BOM and manufacturing cost, and a $549 price tag - without subsidies. Once again, Apple has stuck to its old tried-and-true formula of optimizing its iPhone hardware gross margins to attain maximum profitability."

The table presents the preliminary BOM based on a physical dissection of the iPhone 5c conducted by the IHS Teardown Analysis Service. Note that the teardown assessment is preliminary in nature, accounts only for hardware and manufacturing costs and does not include other expenses such as software, licensing, royalties or other expenditures.



Just as Apple's pricing strategy for the 5c is familiar, so are the phone's electronic content and design.

"The iPhone 5c is basically an iPhone 5 in a plastic disguise," said Andrew Rassweiler, senior director, cost benchmarking services for IHS. "Just as in the original iPhone 5, the 5c uses an Apple A6 processor, a 4-inch retina display, and low-power Double Data Rate 2 (DDR2) DRAM - among other commonalities. Because of this, the iPhone 5c benefits from the normal cost reductions that typically occur for electronic devices during the period of a year. The combination of the design and component reuse - and the plastic enclosure - has allowed Apple to offer a less expensive version of the iPhone, although it's still not cheap enough to be a true low-cost smartphone."

The display module in the 5c carries a cost of $41, down 7 percent from $44 one year ago. "Maintaining the same specification and the same suppliers for the panels as the iPhone 5 has helped Apple hold the line on its display costs for the 5s," said Vinita Jakhanwal, director of mobile and emerging displays and technology at IHS. "Japan Display Inc., LG Display and Sharp have been the main display suppliers for the iPhone 5 for more than a year, allowing Apple to provide them the opportunity to enhance their manufacturing yields and efficiencies."

The biggest difference between the iPhone 5c and the original iPhone 5 lies in the radio frequency (RF) transceiver, which has been updated to support more 4G Long Term Evolution (LTE) bands. The 5c uses Qualcomm's WTR1605L RF transceiver, which supports up to seven simultaneous LTE connections during operations. The iPhone 5 used the older RTR8600L RF transceiver, also from Qualcomm, that supported only up to five active LTE bands.


Previous
Next
Add Music In Your Youtube Videos With YouTube Audio Library        All News        Micron Ships First Samples of Hybrid Memory Cube
Toshiba Dual Camera Module Enables Simultaneous Output of Images and Depth Data     Mobiles News      First Samsung Curved Smartphone Coming Next Month

Get RSS feed Easy Print E-Mail this Message

Related News
Jury Says Apple Not Guilty in iPod Suit
Apple and IBM Bring Big Data Analytics and Security Capabilities on iPhone And iPad
Samsung Seeks to Toss $930 Million Award
iPhone 6 Plus Captures Great Portion Of US "phablet" Sales
Apple Technology Protects Falling Phones
New 12-inch iPad Air Plus iPad Coming This Summer
Apple To Donate Part of App Sales Profit To Support Fight Against AIDS
Apple To Bundle Beats to iOS: report
Apple WatchKit Software Tools Now Available
UnionPay Payment Option Now Available For or Chinese Apple Customers
Samsung To Make Future Application Processors For Apple: report
Apple Downlpays Importance of "Masque Attack" To iOS Devices

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2014 - All rights reserved -
Privacy policy - Contact Us .