iPad Parts May Yield Tidy Profits for Apple

“Apple’s recently launched iPad could yield a tidy profit for
the company thanks to its relatively low cost for parts, if an
analysis of the components proves accurate.

“According to BroadPoint AmTech analyst Brian Marshall, the
low-end $499 version of the new tablet costs about $270 in
materials and manufacturing.

“Marshall concluded the most expensive piece in the iPad’s bill
of materials (BOM) is the 9.7-inch touch-sensitive display, which
he put at $100. Apple’s (NASDAQ: AAPL) most profitable item,
meanwhile, is the 3G radio: Models carrying the unit cost $130 more
than those without, while it only costs the company $16.”

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