Apple iPhone X production cost estimated to be less than 50% of selling price

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By now, we all know that the iPhone X is the most expensive one that has come from Apple's stable. But do you know how much exactly is Apple paying to produce this? Well, the Chinese industry watchers have taken up this matter into investigation and have estimated the total cost of the components involved in making the most advanced iPhone right now.

Apple iPhone X production cost estimated to be just $412.75

Going by a report by IChunt (via: GSMArena) the estimated production cost of the iPhone X is approx. $412.75. Given that the selling price of $999 for the base variant with 64GB storage space, it is around 59% cheaper to produce the iPhone X. We already know that the iPhone X's most expensive component is its 5.8-inch Super Retina display, which is an OLED panel made by Samsung. As per the estimation of the industry watchers, the company is estimated to pay $80 for a single panel of the display. Previous sources have tipped that the cost of the display panel is between $100 and $120 per unit.

Apart from the display, the new Apple A11 Bionic chipset costs $26 while that the Qualcomm model that is built on top of the processor costs $18. The 3D Face ID sensor costs $25 and the glass panel at the front costs $18. The NAND memory module from Toshiba costs $45 for the high-end 256GB variant and the 3GB of RAM is worth $24. The list does not end here as there are more components as well.

Having said that, you might think that Apple will get 59% profit from each unit of the iPhone X that is sold. But that is not the case. There are a few other additional expenses those are not included in this estimation and those are the cost involved in logistics, manufacturing of the iPhone X, cost of producing the software and more.

Also, in comparison to the Samsung Galaxy S8 that also uses an advanced OLED display, the iPhone X costs more to produce. We say so as the Galaxy S8's production cost has been estimated to be $307.50 which is significantly less than that of the iPhone X.



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