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[opendtv] What Apple TV Costs to Make
- From: Monty Solomon <monty@xxxxxxxxxx>
- To: opendtv@xxxxxxxxxxxxx
- Date: Thu, 7 Jun 2007 08:55:10 -0400
What Apple TV Costs to Make
Analyzing and pricing out the components of Apple's new set-top video
box reveal uncharacteristically slim profits
by Arik Hesseldahl
June 6, 2007, 12:01AM EST
When Apple CEO Steve Jobs called Apple TV a "hobby," he wasn't kidding.
By typical Apple standards, the new set-top video box may as well be
a hobby given how unprofitable it is in its current form. That's one
conclusion you can draw from research firm iSuppli's analysis of the
innards of the device, which connects a TV to videos stored on a Mac
or Windows computer.
Having taken it apart, iSuppli estimates that the components and
materials used to make Apple TV cost $237. Since Apple sells it for
$299, that would leave a gross profit of $62, or about 20%, before
marketing costs.
...
http://www.businessweek.com/technology/content/jun2007/tc20070606_984317.htm
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