ifixit air 2

Apple’s latest iPad Air 2 costs roughly the same as its predecessor, an analysis from the research firm IHS quoted Tuesday by Re/Code has determined. An entry-level Wi-Fi-only model with sixteen gigabytes of storage costs an estimated $275 in parts, excluding costs associated with sales, marketing, advertising, packaging, software licensees, research and development and so forth.

It’s interesting that Apple pays about $60 for NAND flash chips in the high-end 128GB model and only $9.20 on memory for the low-end 16 GB devices. At retail, the difference between the 128 and 16GB model is $300. “Apple reaps a pretty good profit for all that memory,” IHS analyst Andrew Rassweiler observed.

The average cost for flash chips is about 40 cents per gigabyte, the analyst said. It’s interesting that the $275 cost of bill of materials for the $499 16GB iPad Air 2 is just a dollar more than that of the original entry-level iPad Air model.

This yields a profit margin of between 45 to 57 percent depending on the device, compared with the original at 45 percent to 61 percent. The flagship $829 128GB iPad Air 2 with LTE cellular networking costs $358 in components, IHS added.

The tablet’s improved 9.7-inch display with anti-reflective coating and optical bonding, made by LG Display and Samsung, is said to cost $77 per unit. That’s cheaper than the original model’s $90 display, accounting for an estimated 28 percent of the component cost.

The rear and front cameras combined cost $11 per unit, though IHS couldn’t verify the identity of Apple’s camera suppliers for the iPad Air 2.

The iPad Air 2 runs the Apple-designed A8X processor with improved graphics and a faster CPU compute performance. The RAM is comprised of two 1GB Elpida F8164A3MD modules and the battery is of the 27.62 Whr; 7,340 mAh variety, a teardown analysis by iFixIt has determined.

[Re/code]

  • Abraham Masri

    Apple is paying its employees using that money, I would say that I would pay no matter what to stay an Apple user, such a great company!

    • mrgerbik

      $1 /hour is good pay?

      • Abraham Masri

        you’re talking about Foxconn.

  • David Wolf

    Difference between 16GB and 128GB is “only” 200 Dollars

  • Vince Reedy

    Not a surprise seeing as it’s almost the same as previous.

  • Chris

    And for those looking to buy the iPhone 6/6 Plus you are better off buying the iPhone 5S. You save a couple of bucks and it’s the same sh*t.

    • Cameron

      Except it really isn’t.

      • Chris

        The screen? Nothing else is different.. The internals are the same. The processor changed from “A7” to “A8” clocked at almost the same speed with same 1GB of RAM.

      • Fanboy 

        Except that you forgot that not only is the screen bigger but has new technology which fuses it closer to the glass. Barometer, the improved M8 co-processor, the new NFC chip, not to mention a much thinner design and the capability for MUCH faster charging that for some odd reason Apple is not promoting. Sounds like a pretty good upgrade to me.

      • Chris

        When are you going to use barometer? No app uses it at all. M8 co-processor? I don’t care how many flights I have climbed today (the only difference between the M7). NFC Chip, what’s really the point if you can only use it with Apple Pay and probably just Walgreens and McDonald’s at this point? I still need my wallet. A couple of debit/credit cards won’t make my wallet any smaller. I still need my drivers license and cash with me, and if you are a guy you know that using your debit/credit card isn’t a hassle at all. Your wallet is in your front pocket. It takes the same time to swipe your card as taking out your phone and using Apple Pay.
        The 6 Plus and iOS 8.1 are filled with problems as well..

      • Fanboy 

        How about the Health app? The barometer along with the M8 co-processor are able to produce more accurate results in health tracking data. Not to mention that this is new so just because not many apps are taking advantage of these sensors, it doesn’t mean they wont be in the near future. The new screen along with the curved glass makes it feel like you are touching paper, the colors are right there literally at your finger tips. NFC (just like Touch ID) will eventually be open to developers and others, but Apple Pay is having more success than any other mobile wallet so once again, just because you dont use it doesn’t mean its not an upgrade. If you still use your phone to just make calls then that is fine, you might as well stay with the iPhone 3GS for that matter lol.

      • Chris

        Near future for Apple is in a year or two, and by that time you are already buying a new iPhone. And I have the 6 Plus, coming from an iPhone 5, I had the 4S before and 3GS. Right now, I have 2 tabs open and using pandora, pandora had to close, that never happened on the 5. The phone couldn’t keep up with it. RAM is a real issue here. And while the bigger screen is pushing way more pixels and it has the same internals as the 5S it makes it a 5S on steroids. But worse because it can’t do daily tasks at all. Those new “features” are nothing to the performance of the phone. The barometer won’t make your phone any better, neither NFC chip or the curved edges.

      • Fanboy 

        Sucks for you, I’ve never had an app crash due to RAM on any of my iPhone’s since the 3GS or on either of my iPad Mini’s, and that is with them even being jailbroken. You should go get your iPhone checked out because RAM is definitely not a problem. & I just gave you an example on how exactly the barometer, M8 chip and NFC make the iPhone 6 better but I guess you don’t like to read lol

      • Chris

        Like I said, the barometer, M8 chip and NFC aren’t the issue here. I don’t care about those and I am sure only 30% of the people will use the health app at all. Those “features” don’t make the iPhone 6 better in comparison to the iphone 5S at all, yeah, nice additions but nothing that awesome.

      • Fanboy 

        & where exactly did you collect this data that only 30% of iPhone owners use their phone for fitness-related activities? Just because you don’t use it doesn’t mean its not an upgrade but like i said if you still live under a rock and only use your phone for calls then I definitely do not recommend buying the iPhone 6. Me on the other hand I use it for fitness daily along with Apple Pay now for some businesses around me here by my job downtown, and it is expanding. I love the new display, and design, not to mention I upgraded to a 64GB because they reduced the price. Overall a great upgrade from my iPhone 5S.

      • Chris

        And I truly respect your decision and your purchase. I know it is a bad idea to comment about this and how the iPhone 6 is bad or has been bad in terms of performance to me and a couple of friends. But I am just trying to inform people. Apple just brainwashes in every release. “Thinner, Faster” and a couple new chips. Way to go Apple!
        Not to say the iPad mini 3, same thing just Touch ID, who’s going to disagree with me on that one?

      • Fanboy 

        I love Apple but even I know when Apple is pushing it, and I totally agree with the iPad Mini 3. Go view some of my previous comments and you’ll see I was highly upset on that because they did absolutely no upgrades to the Mini 3, not even the new fused display or A8 chip. Which is exactly why for the first time I am not upgrading my iPad :/

      • What features would make it “awesome”?

      • Chris

        If you have the 6 Plus as well I invite you to open 2 tabs in safari, start listening music on pandora and opening the app “Zen Garden”. Safari will close and reload every single website, also, the app will lag like crazy at opening. Something that is not acceptable on a 2014 phone that is over $1,000. Barometer, NFC, M8 chip don’t matter. It’s all about performance. You can’t even see or use those chips at all without restrictions. What you can see is the lack of specs and how your phone will reload.

      • Cameron

        I’ve actually been reading that the jump from 5s to 6 is the biggest one generation jump for the iPhone. So unless you’re telling me that you’d always recommend buying a generation behind just to save money, then I can’t really argue with your logic.

      • Chris

        The biggest jump was the 4S to the 5. The screen was perfect and the processor was actually faster. This 5S to 6 could be just as good if the processor and the RAM would have been doubled. But no, it’s just a 5S with a bigger screen. While the 5 wasn’t a 4S with a bigger screen. It was actually double the performance.

      • ClaudieX X

        Clearly in this conversation… You can see that FANBOY is a “normal iPhone user and CHRIS is an iPhone “S edition” user… Both iPhone lovers but with different requirements…

  • Fanboy 

    Nobody but Apple knows how much it costs. Dissecting the product and viewing the parts doesn’t determine what kind of wholesale deals Apple has with the component suppliers. Just because a part cost a certain amount doesn’t mean that’s what Apple is paying.

  • Xee

    “Apple reaps a pretty good profit for all that memory” – what he actually means is ‘Apple rips off customers on memory options’.

    • AWonton

      Like more or less every other company ever. (A particularly fun example, if not recent, is Sony’s pricing on PS Vita memory cards)

  • ClaudieX X

    Im happy with my new iPad Mini 2 buyed 1 day ago after my frustration with the iPad Mini 3…

    • Chris

      Purchased* or bought* not “buyed” brother 🙂 we all make mistakes, just helping out!
      By the way, good decision on the iPad mini 2. You save money and it’s the same as the iPad mini 3..

      • ClaudieX X

        sorry you are totally right !! buyed hahaha…

      • Carlos Gomes

        Hey! That’s the spirit, man.
        Cheers for being useful rather than the usually annoying and hungry troll.

        Not /s

  • n0ahcruz3

    We all know apple products are overpriced and overrated. Ripoff

  • All that money for a very powerful yet excessively limited device compared to the competition…great hardware, rip-off software.

    • mav3rick

      In reality only the apps are making the big difference.