Iphone 5 costs 207$ (127Pound) to make and Ifools pay 529 pounds

Have you factored in the cost of all those adverts, shipping, packaging, taxes etc.? Besides, Apple is not a charity. It's in the market to make money. It has spent a lot on research in making the software & hardware. It's foolish to simply consider the hardware cost. Even the cost of manufacturing has not been taken into account.

So components are about 25% of the total.

Be interesting to see what the equivalent number is for various hifi brands. The high end will be a lot 'worse' than that in many cases. Think re-badged Oppo's, imported American kit where dollar = pound, add-on power supplies (PSX-R?!) Etc.

iFools? HiFiFools? (I'm both)

Edit - just checked, a Samsung Galaxy 3 isn't much cheaper, and presumably they supply the parts to themselves chaper than to Apple, so the markup will be similar. How sad am I pointing that out though, going to all that trouble to defend the largest corporation in the world. Especially as the 'same margin' argument is most certainly not valid for computers, which are daylight robbery. There, I've said it. Note to self - get a life

Now add Shipping , the two Taxes from supplier and retail and then split the Profits from supplier to retail, it doesn't end up being that great as it first seems .

You will find this with all none UK built electrical equipment , very cheap labour = higher profits its nothing new

 

Do you think samsung don't do the same as Apple?

Samsung sub contract there TV parts out to small companys who are just as bad as Apples Factorys

My wifes mother used to work for one in the Czech Republic who made circuit boards for Sony , Samsung and Panasonic TV's = 50 hours + aweek for 400 euros a month

I love people who read stuff and think they know it all 

Apple state in their tax returns they make about 50% on iPhones.  Less margin than the clothes you're wearing or the beer you drink.

6threplicant - where did you get that emoticon, brilliant? And so much more succinct than my waffling

 

What price would people not be ifools to pay? I would like a precise answer with full reasoning please. 

I got admit this is driving me mad , i come to WHF to read and get good tips and try to help other ( if i can ) but i find myself annoyed with certain people because all they want to do is bad mouth things because they can copy and paste from other websites and think how clever they are

Patent trolling   legal fees 

Take a long hard look at the HiFi in your signature...exactly how much do you think that lot cost to make?  Absolutely nowhere near the retail costs. That surely makes you just as much a fool, by your own reasoning?

I wonder if all your comrades in Utopia think like that too. Dont be so naive, thats how business functions, you pay some money and you make a choice. Just because its not your choice, does not necessarily make it wrong. 

Wow, I don't think I've ever seen so many leap to the (albeit mostly indirect) defense of Apple on this forum before!

 

 clickety 

It's all about maintaining a balance. Extreme opinions are never good.