Thread: Electronics iPhone 5?
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Old 09-28-2012, 04:06 PM   #241
AustinChief AustinChief is offline
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Quote:
Originally Posted by GordonGekko View Post
iP5 costs under $200 to make...

http://money.cnn.com/2012/09/28/tech...html?hpt=hp_t3

I know there are 'other' expenses that go into bringing products to market, but that is quite a markup since they are selling these phones to providers for $600.
This is a tough one to solve because it happens with all the major manufacturers. Galaxy S3 is about the same. The only reason they get away with it is because of the subsidies the carriers are willing to pay. As more and more people move to no contract plans the subsidies will dry up and you'll start to see pricing fall to reasonable levels. My guess would be 3-5 years before we see it though.
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