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Apple should be able to generate extremely interesting profits when selling each iPhone, if a recent disassembly is an indication.
TechInsights people recently tore the iPhone XS Max with 256GB of onboard storage to see what was inside. He then asked for pricing on each piece to create a total cost. After making this assessment, the company estimated that Apple was paying $ 443 to build each iPhone XS Max of 256GB. Apple sells this phone for $ 1,249, suggesting that the company makes a profit of $ 806 on the sale of each device.
Apple unveiled the iPhone XS Max alongside the iPhone XS at a press event earlier this month. The company released the handsets last week. The iPhone XS Max comes with the largest screen size ever in an iPhone, measuring 6.5 inches. The iPhone XS has a 5.8-inch display. They both work with the A12 Bionic chip and come with improved cameras on the iPhone X from last year.
Of course, Apple reap considerable profits on the sale of each iPhone is not a surprise. The company generates billions of dollars in profits each quarter.
For its part, Apple does not discuss the profit it makes on the sale of each device. And Apple CEO Tim Cook said in the past that these disassemblies were inaccurate and did not reflect Apple's prices. But they still serve as an approximation of the cost of iPhone components in the real world. And if not, they highlight Apple's unique ability to generate significant profits on its products.
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