An iSuppli teardown reveals that the bill of materials for the 16, 32, and 64GB iPhone 4S totals $188, $207, and $245, respectively. The 16GB 4S sells for $199 on contract ($649 off), so Apple’s profit margins are quite a bit lower for the baseline model. The most expensive component set is the display/touchscreen combo which totals $37, but the NAND flash module quickly runs up the cost on the 32 and 64GB models.
[iSuppli]
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