Apple iMac costs $898 to manufacture

Posted on Friday, Jan 20 2006 @ 01:09 CET by Thomas De Maesschalck
Research firm iSupply disassembled a $1,299 Intel Core Duo based iMac from Apple and estimates it costs Apple $898 to assemble the iMac before loading it with software and packing it in a box.
The most expensive component in the iMac is the Intel Core Duo processor. Apple's paying about $265 apiece for the chip, iSuppli estimates. "We made a conservative guess that Apple is getting a 10% discount on that chip," says Andrew Rassweiler, manager of iSuppli's teardown team. "But Apple is Apple. It's such a tough negotiator, that discount could be higher."
>br> Two other Intel-made chips, which sit between the Intel Core Duo and other systems in the computer, cost $14 and $31, respectively, iSuppli says. That makes Intel's total silicon content in the new machine worth about $310, or more than one-third of the cost of materials, using the researcher's estimates.
More details over at BusinessWeek.


About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.



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