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It Costs Less Than $84 to Make an Apple Watch Sport Edition

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It Costs Less Than $84 to Make an Apple Watch Sport Edition

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The finest luxury Gold Edition smartwatch by Apple comes at a whopping amount of $17,000. The lowest version starts at $349, and the price goes up with the higher the model you choose. But do you know the heavily tagged Apple Watch costs just 24% of the retail price to the company?

The research firm IHS did a teardown of the Apple Watch Sport and discovered that one unit of the Sport is worth 24% of what buyers pay for it. It is less than one-fourth of the price and costs the Cupertino-based tech giant a mere $84 (approx.). The firm quoted it as the lowest price set by the company for any hardware as other Apple products are traded much higher than their manufacturing cost.

Apple watch 4

As per IHS estimates, the 38mm Watch has the OLED display as its priciest part that is coated with Ion-X cover glass. The whole arrangement of display and protection provided by LG costs $20.50. The second most expensive part of the watch is the A1 processor manufactured at the company’s plant itself. All other components cost below $10, except the electro-mechanical apparatus.

As the cost is estimated on the basis of teardown, the expenses such as licensing, logistics, R&D, and other noticeable costs have not been taken into account.

The expense table of the 35mm Apple Watch Sport by IHS is given below:

apple watch

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About The Author
Meenakshi Rawat
Meenakshi Rawat
iGyaan's newbie Meenakshi handles content at iGyaan. She is an ultimate foodie, loves travelling and likes to read.
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