The 256GB variant of iPhone XS Max retails at $1299 which only costs Apple $443 according to the latest report published by TechInsights.
Apple has crossed the $999 barrier with new iPhone releases starting at $1099 and $1499 for the top variant. iPhone XS Max top variant is the most expensive handset on the market to date.
According to the report by TechInsights, iPhone XS Max 256GB incurs manufacturing cost of $443, a hike of $50 as compared to the iPhone X. Apple priced iPhone X 64GB variant at $999 when its manufacturing cost was $395.44.
If that is the case, Apple should have priced the 256GB iPhone XS Max at $1120 rather, the company has priced it even higher at $1299. But there are some other indirect costs associated with it.
The most expensive component of iPhone XS Max is 6.5-inch OLED display panel which costs $80.50, Apple A12 Bionic Chipset is the second most expensive component which costs $72 per unit, internal storage and External housing also cost $64 and $58 respectively.
The updated cameras are also responsible for the pricy model which costs roughly $44, however, we also have to add some additional costs such as research and development of the smartphone and the latest version of iOS 12.1, all these indirect costs push the phone price even further.
Apple primarily doesn’t sell the components and specifications rather than a brand, that is why Apple’s prices are not comparable to what other smartphone brands are offering.