With the iPhone 5 ready to launch in the US today, one question remains: will the 6 year “golden” tech champion be able to create another astounding, technological miracle? Not only does the iPhone contribute to over 46% of Apple’s revenue, the handset from each respective generation has also been able to consistently maintain 50% profit.
BOM of iPhone 5
At a time when the smartphone terrain was going through a drought, the iPhone was able to surprise many with just moderate hardware capabilities. With the iPhone4 having increased the performance and capabilities up by a whole notch, the Cupertino giant is not far from releasing perfect, 10-point smartphone. The iPhone 5 will be Apple’s last smartphone device that received creative input from the late Steve Jobs, and the first major Apple product to be released since Tim Cook took charge as CEO. The handset is both an indicator of the company’s future success and a product that helps us understand how the market may potentially assess the Cupertino giant’s performance.
Production-wise, the costs for most of iPhone 5’s components are lower than those of the iPhone 4S.TrendInsider estimates the profit of Apple will increase no matter how good or bad the iPhones 5 sales go. As the cost savings allow Apple to potentially experiment with different things, we look forward to seeing what surprises Apple has in store with its new product.
iPhone 5 will be increase sales of iPads and Macs, also thesales of apps, online music and video streaming.These sales will add to Apple’s profit.