iPhone 6s Plus Component Costs Estimated to Begin at $236, $16 More Than iPhone 6 Plus

IHS iSuppli has once again taken apart the newest set of iPhones in an attempt to come as close as possible to estimating the actual component cost of the new devices. According to IHS iSuppli's teardown of the iPhone 6s Plus, the bill of materials for a 16 GB version comes to $231.50, with manufacturing costs and other minor items raising the overall price slightly to $236.

ihs_iphone_6s_plus_parts
One of the biggest areas of increased cost is related to 3D Touch, which adds about $10 to the overall component cost of the iPhone 6s Plus when combined with Apple's Taptic Engine used to fuel the new feature. It's these improvements that have boosted the new iPhone 6s Plus to cost around $16 more to manufacture than last year's iPhone 6 Plus, according to IHS Technology senior director of cost benchmarking services, Andrew Rassweiler.

“3D Touch and Apple’s Taptic engine are among the more notable feature upgrades found in this latest round of iPhones,” said Rassweiler. “With each generation the company makes measured, incremental technology improvements to its iPhone line, and this time around those changes are increasing Apple’s per-unit material cost.”

Overall, the most expensive aspect of the new iPhone 6s Plus is its display, with the addition of 3D Touch slightly increasing the component cost to $52.50 this year. Other high-cost components include the iPhone's new 12-megapixel rear camera and 5-megapixel front-facing camera that together are estimated to cost $22.50, and the A9 chip at $22.00. IHS also points out the incremental cost differences between each step-up in memory capacity, which sees a small component cost difference when in comparison to Apple's $100 jump between capacities like 16 GB and 64 GB, for example.

“NAND Flash is now so cheap it’s almost irrelevant, but Apple monetizes this difference with consumers, to the tune of $100 for each additional step up in memory capacity,” Rassweiler said. “For example, a 64 GB iPhone now costs Apple about $17 more to make than a 16 GB iPhone, but Apple charges iPhone buyers $100 more for the increased memory. This is part of Apple’s ongoing strategy to improve profits by selling a product mix that is heavier in the higher-end iPhones.”

Overall, IHS iSuppli's teardown concluded that the iPhone 6s and iPhone 6s Plus see most of their value additions in the form of overall durability for the new devices. This is thanks to new components like the 7000 Series aluminum case, an upgraded Gorilla Glass 4 cover, as well as "additional gaskets and seals" that IHS says improves the water resistance of the new iPhones, which has been studied in the days since release.

Earlier in the year, Apple CEO Tim Cook went on the record during one of the company's annual earnings calls, denouncing component cost teardowns like IHS iSuppli's of the iPhone 6s Plus. "I've never seen one that is anywhere close to being accurate," Cook said.

Such estimates do not take into account an array of costs, including research and development, software, and licensing costs, making profit margins appear much larger than they actually are. And given the proprietary nature of many of the components, cost estimates can be rough. The estimates can, however, be somewhat useful in comparing differences between generations to get a general idea of the potential cost impact of hardware changes.

Related Forum: iPhone

Top Rated Comments

Shanpdx Avatar
79 months ago
32GB should be at the base.
Score: 14 Votes (Like | Disagree)
ThatTechGuy Avatar
79 months ago
[Queue posts about how this doesn't account for extensive R&D costs]
Score: 10 Votes (Like | Disagree)
ck2875 Avatar
79 months ago
I'm really impressed that Apple was able to simply walk into to RadioShack and buy all these parts for ~$236
Score: 9 Votes (Like | Disagree)
CB1234 Avatar
79 months ago
Cue the comments ====== Apple is greedy =======
Score: 9 Votes (Like | Disagree)
todhug Avatar
79 months ago
32GB should be at the base.
Apple makes billions every quarter. They keep getting richer and richer. I'm a huge Apple fan and a huge customer of Apple, not only personally, but corporately too. I'm glad they are rewarded for their quality and ingenuity. However, this was pure greed and you would think they could give their customers a break. Especially lower and middle class America. I hope this hurts them. As a dedicated customer for over 10 years having spent 100s of thousands of dollars they are pushing my limits. I have other options as much as I hate to go there. They probably sat around the table telling themselves, if we keep the 16GB we will take the extra profit and give ourselves huge bonuses this year.

Agreed, the base should be at 32GB. This was a stupid executive/accounting move. Shame on you Apple and shame on you Tim Cook. Would it be too much to help your customers out a bit?
Score: 7 Votes (Like | Disagree)
xmlninja Avatar
79 months ago
These costs doesn't include the price and effort put in to developing the actual components. Without that work, there wouldn't be any components in the first place.
Score: 4 Votes (Like | Disagree)

Top Stories

studio buds family

Beats Studio Buds Debuting Today With Active Noise Cancellation, Stemless Design, and More for $150

Monday June 14, 2021 8:00 am PDT by
We've seen a lot of teasers about the Beats Studio Buds over the past month since they first showed up in Apple's beta software updates, and today they're finally official. The Beats Studio Buds are available to order today in red, white, and black ahead of a June 24 ship date, and they're priced at $149.99. The Studio Buds are the first Beats-branded earbuds to truly compete with AirPods...
affinity designer contour tool

Serif Updates Affinity Photo, Designer, and Publisher With New Tools and Functions

Thursday February 4, 2021 1:58 am PST by
Serif today announced across-the-board updates for its popular suite of Affinity creative apps, including Affinity Photo, Affinity Designer, and the Apple award-winning Affinity Publisher for Mac, all of which were among the first professional creative suites to be optimized for Apple's new M1 chip. "After another year which saw record numbers of people switching to Affinity, it's exciting to...
maxresdefault

Craig Federighi and Greg Joswiak Discuss iPadOS 15, macOS Monterey, Privacy, Shortcuts on Mac, and More

Saturday June 12, 2021 6:12 am PDT by
As is tradition, Apple executives Craig Federighi and Greg Joswiak joined Daring Fireball's John Gruber in an episode of The Talk Show to discuss several announcements that Apple made over this weeks WWDC, including iPadOS 15, macOS Monterey, and a large focus around privacy. Federighi kicks off the conversation discussing the common architecture, now thanks to Apple silicon, across all of...
M1X MBP Feature

Leaker: Upcoming MacBook Pro to See Price Hike Over Current Model, Equal Performance Across 14 and 16-Inch Sizes

Tuesday August 24, 2021 5:28 am PDT by
The upcoming 14-inch MacBook Pro is set to be more expensive than the current 13-inch MacBook Pro and both the 14 and 16-inch models will offer the same performance, according to the leaker known as "Dylandkt." The leaker shared the information on Twitter, explaining that both of the upcoming MacBook Pro models, expected to come in 14 and 16-inch sizes, will feature the same performance due...
youtube apple tv

YouTube Discontinuing 3rd-Generation Apple TV App, AirPlay Still Available

Wednesday February 3, 2021 3:09 pm PST by
YouTube is planning to stop supporting its YouTube app on the third-generation Apple TV models, where YouTube has long been available as a channel option. A 9to5Mac reader received a message about the upcoming app discontinuation, which is set to take place in March.Starting early March, the YouTube app will no longer be available on Apple TV (3rd generation). You can still watch YouTube on...
General Apps Messages

Android iMessage Competitor Puts Pressure on Apple

Friday July 30, 2021 3:15 am PDT by
Google and the three major U.S. carriers, including Verizon, AT&T, and T-Mobile, will all support a new communications protocol on Android smartphones starting in 2022, a move that puts pressure on Apple to adopt a new cross-platform messaging standard and may present a challenge to iMessage. Verizon recently announced that it is planning to adopt Messages by Google as its default messaging...
YouTube Picture in Picture Feature

YouTube Premium Subscribers Can Now Use iOS Picture-in-Picture: Here's How

Wednesday August 25, 2021 3:55 am PDT by
Google has rolled out picture-in-picture support as an "experimental" feature for YouTube premium subscribers, allowing them to watch video in a small window when the app is closed. If you're a premium YouTube subscriber looking to try out picture-in-picture, follow these steps: Launch a web browser and sign into your YouTube account at YouTube.com. Navigate to www.youtube.com/new. Scroll...
iPhone 13 Dummy Thumbnail 2

Kuo: iPhone 13 to Feature LEO Satellite Communications to Make Calls and Texts Without Cellular Coverage

Sunday August 29, 2021 7:39 am PDT by
The iPhone 13 will feature low earth orbit (LEO) satellite communication connectivity to allow users to make calls and send messages in areas without 4G or 5G coverage, according to the reliable analyst Ming-Chi Kuo. In a note to investors, seen by MacRumors, Kuo explained that the iPhone 13 lineup will feature hardware that is able to connect to LEO satellites. If enabled with the relevant...
twitterqrcode

Twitter Introduces QR Codes for Sharing and Following Accounts

Wednesday November 16, 2016 4:13 pm PST by
Twitter today introduced Snapchat-style QR codes, which are designed to make it easier to find and follow friends on the social network. Each Twitter QR code is unique to an individual Twitter user, so when scanned, it'll bring up the person's account. To access your Twitter QR code, you'll need the official Twitter app for iOS. In the app, go to your profile, tap on the gear icon, and select...
macOS Monterey on MBP Feature

Apple Seeds Sixth Beta of macOS Monterey to Developers

Monday August 30, 2021 1:11 pm PDT by
Apple today seeded the sixth developer beta of macOS Monterey, the newest version of the macOS operating system. The sixth beta comes three weeks after Apple released the fifth macOS Monterey beta. Registered developers can download the beta through the Apple Developer Center and once the appropriate profile is installed, betas will be available through the Software Update mechanism in...