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Filed under: Analysis / Opinion, Hardware, Humor, Odds and ends, iPhone

iSuppli estimates the iPhone 3GS costs $179 to make

Did you know that after it is broken down into all of its composite metals and materials and parts, your human body is really only worth about $4.50? Yup, you're cheap in the broadest sense -- all of that oxygen, magnesium, iron, and sodium isn't actually worth all that much in the rare metals market. In fact, according to iSuppli, you're worth way less than the iPhone 3GS -- they looked at the component parts for Apple's new handset, and calculated its raw value at around $178.96. The most expensive components are the 16gb flash memory (ringing in at around $25 per part) and the display (at $19), all the way down to the audio codec board, which Apple reportedly picked up for a cheap $1.15. Of course, there was lots more cheaper stuff (we assume the screws weren't a buck each), but iSuppli didn't actually go that granular. That also doesn't include any of the non-hardware costs: shipping fees, R&D, distribution, marketing, and so on. But it's way more than you're worth, and it's $40 more than the Palm Pre costs to make, too.

Lest you start worrying that your spouse will start valuing their iPhone more than your body, however, there is a silver lining. If you break down to the mineral components of the human body, we're cheap, but the actual components of the body are pretty expensive, it turns out. Expensive to the tune of $45 million, if you count up all the money you could pick up from taking out your bone marrow, extracting your DNA, and selling off a lung or two. Just like the iPhone's parts, when assembled, are worth more than iSuppli's $179, you too pick up some value when assembled the right way.

[via Engadget]

Filed under: Analysis / Opinion, iPod Family, Odds and ends, Apple Financial

Apple taking it easy on flash memory order this year

CNET is reporting that iSuppli announced Apple is "cutting" their flash memory order this year, and in this case "cutting" doesn't mean "cutting" the way you or I would use it (as in, "The doctor said I had to cut my sugar intake, so I'll only have one doughnut instead of six."). No, it means "cutting" as in they're only raising their orders for flash memory by 16% instead of the expected 32% (which is like saying "I'll only eat three more doughnuts instead of six").

Still, it's enough to send a few folks into a tizzy -- as CNET's Tom Krazit says so perfectly: "If Apple coughs, the flash memory market gets sick." I don't know that there's too much to read into this, except maybe that we probably won't see a brand new iPod this year. With the iPod touch and all the iPod iterations out right now, Apple pretty much has the market covered on mp3 players. That doesn't mean they won't drop lots of new products (I hear that they used to make computers of some kind), but it probably does mean that in terms of the current iPod brand, growth has peaked. Until they bring out that gaming device, flash memory isn't their biggest need.

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