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  1. #1
    Retired Staff
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    Feb 2011

    Default The iPhone Is A Quarter Samsung

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    An interesting analysis made by The Economist reveals that based on component costs, Apple’s immensely popular iPhone is a quarter Samsung.

    The Economist says that all Samsung-made components in the iPhone “account for 26% of the component cost of an iPhone.”

    That’s significant, observers note, considering the two companies are embroiled in a raging legal war concerning their products and patents infringement.

    Samsung also makes direct competitors of the iPhone and the iPad with its Galaxy line of smartphones and tablets, the same line Apple is suing the South Korean company over.

    The report, which shows an infographic was based on a teardown of the Apple iPhone by IHS iSuppli.

    According to the publication, Samsung manufactures and sells to Apple “some of the phone’s most important components: the flash memory that holds the phone’s apps, music and operating software; the working memory, or DRAM; and the applications processor that makes the whole thing work.”

    Those are just three components but they total $45.68. The flash memory costs $26, the DRAM $11.6 and the processor $8.08, based on the data used by The Economist gathered from iSuppli.

    The total components cost of the iPhone is $178, the publication says, which makes the Samsung-made components 25.66 percent of overall components cost.



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