

Low-End iPad mini Carries $188 Bill of Materials, Teardown Analysis Reveals - brianchu
http://www.isuppli.com/Teardowns/News/Pages/Low-End-iPad-mini-Carries-188-Bill-of-Materials-Teardown-Analysis-Reveals.aspx

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jsz0
A little off topic but having used the iPad Mini for a few days I'm convinced
it will dominate iPad sales in the near future. Even today I think the form
factor makes up for the lack of a Retina display. I happily switched from the
3rd generation iPad to the iPad Mini. I'll miss the Retina display
(temporarily) but I won't miss the bulk of the 9.7" iPad. My iPad Mini has
already left my house more times than my iPad 9.7" has. It may not seem like a
big difference but being able to pocket the iPad Mini in a jacket actually
makes it a lot more like a big iPhone than a small iPad IMO.

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pooriaazimi
Aren't the controls a bit tiny? Don't you mis-tap controls (in Safari, for
example)? That's my biggest concern because even on my iPad 2, I sometimes
mis-tap buttons and controls (haven't seen an iPad mini in person yet)...

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erichocean
_Aren't the controls a bit tiny?_

No. The controls are literally identical in size to the iPhone. It's the big
iPad's controls that are oversized.

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josephlord
A good but not ridiculous markup for the base model when dealer margin and
other costs are taken into account. I don't know what the retailer margin is
although I suspect it is very low for Apple as there is so little discounting.

What makes it even better is Apple's ability to hold the price through the
product life while many of their costs will fall so margin in 6 months time
will be even better.

The markups on bigger memory and 3G/LTE are massive too.

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jsz0
Exactly. When they do a Retina display / A6 next year the margins will be
lower yet the retail price will remain the same. They have to factor that in
from the start. Apple almost never paints themselves into a corner on pricing.

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untog
That figure by itself doesn't mean much. But does anyone have a comparison to
the iPad.. Maxi? I'd be interested to know which one has higher profit
margins.

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gurkendoktor
And the iPad 2 that they're still selling.

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Shivetya
and for only seventy dollars more for a new one, buying refurbished puts it
down to a size issue as the cost difference is not noticable

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mmanfrin
So going on the 3mil figure they put out, that was around $400mil profit in 3
days.

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xenophanes
That was only materials and manufacturing costs. The real margin is lower.
Subtract advertising, software development, hardware design, etc

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awwstn
ntm shipping

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InclinedPlane
Shipping is inconsequential. How many iPad mini's fit in a shipping container?

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wmf
This may not matter, but Apple tends to ship each unit by air from the factory
to the customer which should cost considerably more than containers. (example:
[http://www.cultofmac.com/192038/look-at-all-these-
iphone-5s-...](http://www.cultofmac.com/192038/look-at-all-these-
iphone-5s-flooding-fedexs-distribution-center-image/) )

