Apple to Get Hefty Margins on iPad
Apple (AAPL) should generate impressive margins on the iPad tablet, according to a “virtual teardown” analysis of the cost to build the iPad by research firm iSuppli.
The iSuppli analysis says the cost of building the iPad will range from $219.35 for the 16 GB version without 3G, to $334.95 for the 64 GB version with 3G. Pricing of the iPad will range from $499 to $829.
That suggests gross margin–not including R&D, marketing expenses and various other costs–will range from 54%-60%, with the highest margin on the 32 GB/3G version, with an estimated parts and manufacturing cost of $287.15 and a price tag of $729.
