/// Apple’s iPhone 5 Is Pried Open and Its Profitable Secrets Start Bursting Out

September 21, 2012  |  All Things Digital


The parts used build the base model of Apple’s iPhone 5 cost a combined $205 to acquire and assemble, according to an early teardown analysis by market research firm IHS. The teardown analysis by the firm previously known as iSuppli is still ongoing this afternoon and not yet complete. But here’s what’s been found so far: Memory chips from Sandisk are in the phone, in a possible sign that Apple is curtailing its purchases from memory chip Samsung amid an acrimonious legal fight between them. Another part previously supplied by Samsung in previous iPhones — the battery — appears to have been supplied by Sony. In both cases it’s likely that Apple is buying both memory and batteries from more than one supplier. This means that Samsung memory chips and batteries may still be found inside some iPhones and not others. The iPhone 5 also contains a wireless processor from Qualcomm, touchscreen controller chips from Texas Instruments and Broadcom. STMicroelectronics maintained is role in supplying the gyroscope chip. The parts used inside the iPhone 5 cost a combined $197 for the base model while the cost of assembly runs about $8 a unit. The iPhone sells for $199 to $399 with a two-year contract but without a subsidy-bearing contract sells for $649 for the base 16-gigabyte model. The findings are more or less in line with with a preliminary cost estimate of $199 on the base 16-gigabyte model that IHS issued earlier this week

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Apple’s iPhone 5 Is Pried Open and Its Profitable Secrets Start Bursting Out


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