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Apple Profits Off Of Cheap iPod Nano Production

September 20, 2007

iSuppli, an Applied Market Intelligence firm has  showed the world exactly how much it costs Apple to make the new iPod Nano, and the numbers show that Apple is making money hand over fist with this deviceBoston (dbTechno) - iSuppli, an Applied Market Intelligence firm has showed the world exactly how much it costs Apple to make the new iPod Nano, and the numbers show that Apple is making money hand over fist with this device.

iSuppli stated that the design of the iPod Nano is virtually nothing like the original iPod Nano. This means that there are pretty much all brand new components packed in here along with new suppliers Apple is working with.

According to iSuppli, the 4GB model has a Bill of Materials cost of $58.85 while the 8GB has a Bill of Materials cost of $82.85. This means that the new iPod Nanos are far cheaper to produce than the old iPod Nanos. The original iPod Nano 4GB model cost Apple $72.74 to create.

Andrew Rassweiler of iSuppli stated “The changes in components have resulted in significant cost reductions in the nano design, allowing Apple to offer a product that is less expensive to build and that has enhanced features compared to its predecessor.”

Bottom line, Apple is making the new iPod Nano for dirt cheap.

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