iPad mini only costs $188 to build, gives Apple 43% gross margin

Apple iPad mini teardown

People arguing that the iPad mini is overpriced at $329 got some fresh ammo this week as IHS iSuppli analysts estimated that the new tablet only costs Apple (AAPL) $188 to build per unit. According to AllThingsD, iSuppli conducted a teardown of the 16GB iPad mini and added up its bill of materials to $188 per unit, which yields a 43% gross margin for each tablet sold. For comparison, consider that iSuppli found that Google’s (GOOG) $200 8GB Nexus 7 tablet cost $151.75 to build per unit, thus giving Google a gross margin of 24% for each tablet sold.

Source:
AllThingsD
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