New Apple TV's Component Cost Pegged at $64
Businessweek reports on new data from research firm iSuppli estimating the component costs for the new Apple TV at under $64, representing a 35% margin on the new device before accounting for such expenses as research and development, software, patent royalties, marketing, and distribution.
According to the report, the most expensive component in the new Apple TV is the A4 system-on-a-chip that powers the device, clocking in at $16.55. Close behind is the 8 GB NAND flash memory chip from Toshiba at $14.00.
While the new Apple TV's 35% margin is significantly lower than the 50% or greater margin Apple frequently sees on its other iOS-based devices, it is much higher than than the 20% margin seen on the original Apple TV at its launch, although the difference in price points between the two devices ($99 new vs. $299 old) means that Apple's margin was greater on a dollar basis with the older model.
Following a price cut on the original Apple TV to $229, Apple saw its margins cut even further to an estimated 10% on the cheaper model.
Update: iSuppli has now posted a press release with more complete information on the study.
Popular Stories
Apple's iPhone 17 Pro and iPhone 17 Pro Max models will feature a number of significant display, thermal, and battery improvements, according to new late-stage rumors.
According to the Weibo leaker known as "Instant Digital," the iPhone 17 Pro models will feature displays with higher brightness, making it more suitable for use in direct sunlight for prolonged periods. The iPhone 16 Pro and...
Just one week before Apple is expected to unveil the iPhone 17 series, an analyst has shared new price estimates for the devices.
Here are J.P. Morgan analyst Samik Chatterjee's price estimates for the iPhone 17 series in the United States, according to 9to5Mac:
Model
Starting Price
Model
Starting Price
Change
iPhone 16
$799
iPhone 17
...
We're only days away from Apple's "Awe dropping" fall event scheduled to take place on Tuesday, September 9 – and along with the new iPhone 17 series, we're going to get a new version of the Apple Watch Ultra for the first time since 2023.
By the time the Ultra 3 is unveiled, it will have been two years since the previous model arrived. The intervening period has left plenty of room for...
Apple is expected to unveil the iPhone 17 series on Tuesday, September 9, and last-minute rumors about the devices continue to surface.
The latest info comes from a leaker known as Majin Bu, who has shared alleged images of Apple's Clear Case for the iPhone 17 Pro and Pro Max, or at least replicas.
Image Credit: @MajinBuOfficial
The images show three alleged changes compared to Apple's iP...
An iPhone 17 announcement is a dead cert for September 2025 – Apple has already sent out invites for an "Awe dropping" event on Tuesday, September 9 at the Apple Park campus in Cupertino, California. The timing follows Apple's trend of introducing new iPhone models annually in the fall.
At the event, Apple is expected to unveil its new-generation iPhone 17, an all-new ultra-thin iPhone 17...
Apple's upcoming iPhone 17 Air will have a $1,099 starting price providing 256GB of base storage and will max out at $1,499 with a 1TB option, according to the latest TrendForce report.
Apple will offer three price/storage tiers for the all-new ultra-thin iPhone 17 model, which replaces last year's iPhone 16 Plus in the lineup. Here's how TrendForce sees them breaking down:
256GB — $1099...
