10-02-2010 ISuppli: Apple's iPad costs $11.20 to manufacture

Excerpt from the ISuppli news item:

The mid-range, 3G-wireless version of Apple Inc.’s upcoming iPad is expected to carry a combined Bill of Materials (BOM) and manufacturing cost of $287.15, making it the most profitable member of the iPad product line on a percentage basis, according to a virtual teardown generated in part by leveraging iSuppli Corp.’s Mobile Handset Cost Model tool.

The mid-priced version of the iPad equipped with 32Gbytes of NAND flash memory and 3G wireless capability will contain $275.95 worth of components and other materials, iSuppli estimates. This version of the device will cost $11.20 to manufacture.

The table below presents the results of iSuppli’s cost estimate for all six versions of the iPad. Please note these cost estimates account only for hardware and manufacturing costs and do not include other expenses such as software, royalties and licensing fees.