The Real Worth of iPhones – Price Vs Cost


According to the standout earnings report, Apple market capitalization exceeded $900 billion for the first time ever and boosted its value by more than 50 per cent.

Many predict Apple will soon become the world’s first trillion-dollar company. An important part of he Apple’s market value increasing was a successful launch of their products, including iPhone 8 and iPhone 8 Plus, as well as the most expensive iPhone X.

Nexter decided to compare the prices of several latest iPhones and their ‘costs to make’ estimated.

iPhone 6

Price: $199-$399

Cost to make: between $200 and $247

According to a teardown analysis, the iPhone 6 gave the company a profit margin of 69 percent for the entry-level model sold in the US.


iPhone 6S

Price: $649-$849

Cost to make: $211.50


iPhone 6 Plus

Price: $749 and $949

Cost to make: from $216 ($243) to $263 ($296)

The model earned Apple a profit margin of 76.7 percent on the 128GB iPhone 6 Plus – or a 329 percent mark-up.


iPhone SE

Price: starting at $399

Cost to make: $160

One of the most popular model in old-style format has just $160 to build. According to this, Apple Inc. earns $239 per unit.


iPhone 7

Price: $649-$849

Cost to make: $219.80

The company claims that this is an increase of $36.89 per unit, as opposed to the iPhone 6s base model from last year. With the base model phone running $649, this gives Apple an expected profit of $424 for each device sold, a 189 percent mark-up.


iPhone 7 Plus

Price: $669-$769

Cost to make: $277.66

The iPhone 7 Plus costs $277.66 to build with profit of $391.34 per unit.


iPhone 8

Price: $699-$849

Cost to make: $247

The iPhone 8 sells for $699 and has a gross margin of 59 percent.


iPhone 8 Plus

Price: $799-$949

Cost to make: $295

iPhone 8 Plus has the same gross margin as iPhone 8 model – 59 percent.


iPhone X

Price: $999 for 64GB and $1,149 for 256GB

Cost to make: $357.50

This is the most expensive iPhone ever sold by Apple, coming in at $999 for 64GB and $1,149 for 256GB. With the margin of 64 percent it makes the company more money per phone than its iPhone 8 model.


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