Apple's iPhone 15 Pro Max Costs 8% More To Manufacture Than Its Predecessor: Report
Portfolio Pulse from Ananya Gairola
The production cost of Apple Inc.'s iPhone 15 Pro Max has increased by 8% compared to its predecessor, according to a report by Counterpoint Research. The Bill of Materials cost for a 256 GB iPhone 15 Pro Max is approximately $502, $37.70 higher than the iPhone 14 Pro Max. The increased cost is due to the new 3-nanometer A17 Pro chip, the Tetraprism lens for enhanced 5x optical zoom, and the shift to a titanium frame. Despite the increased production costs, the iPhone 15 Pro Max maintains the highest profit margin in Apple's lineup this year.
November 10, 2023 | 7:43 am
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The increased production cost of the iPhone 15 Pro Max could impact Apple's profit margins. However, the device still maintains the highest profit margin in Apple's lineup this year, indicating strong pricing power.
The increased production cost could have potentially reduced Apple's profit margins. However, the fact that the iPhone 15 Pro Max still maintains the highest profit margin in Apple's lineup this year indicates that Apple has strong pricing power and can pass on increased costs to consumers without significantly impacting sales. This is a positive sign for Apple's profitability and could lead to a positive impact on its stock price in the short term.
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