Apple reported their quarterly earnings today, crushing estimates in nearly all categories but especially in revenue and iPhone and Mac sales.
Thanks to the new launch of the iPhone 6 and the large iPhone 6 Plus, Apple had a strong quarter in which Apple CEO Tim Cook was even quoted as saying, "we're selling everything we make."
Overall, revenue increased to $42.12 billion, up 12 percent ... [ read the full article ]
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Of course they do.. Teardowns show that they are charging hundreds more for these phones than they actually cost to make and distribute. A 16GB iphone 6 will cost you 600+ out of contract but only costs about $200 to make and the 64GB is not much more than the 16GB one but apple charges even more.
Originally posted by bobiroc: Of course they do.. Teardowns show that they are charging hundreds more for these phones than they actually cost to make and distribute. A 16GB iphone 6 will cost you 600+ out of contract but only costs about $200 to make and the 64GB is not much more than the 16GB one but apple charges even more.
Last time I checked selling something for more than it cost to make was fairly common practice. Once you take off R&D, operations, retail, taxes then they probably make around 45-50% profit on the phones they sell in Apple stores (less if its through another retailer like a contract provider). Although nice and healthy this is not any more than other top end consumer companies. (e.g. Samsung Galaxy S5 $256 to make, sells for $650)
However I do agree that the amount they charge for more memory is criminal, especially when they could easily just give you a memory card slot, which I why I don't buy iPhones.
