iSuppli: Verizon iPhone $16 Cheaper Than GSM iPhone 4



The Verizon iPhone may cost the same as its GSM counterpart, but it’s making Apple about $16 more profit per handset sold, according to the latest data from iSuppli.

iSuppli’s teardown of the Verizon iPhone’s bill of materials adds up to just $171.35 for every 16GB device, compared to the $187.51 estimated cost of the AT&T compatible iPhone 4.

iSuppli asserts that Apple had made “significant changes in its design and component” selection for the Verizon iPhone.

The most expensive component remains the memory, costing $40.40 for the NAND flash and SDRAM, while the Retina Display is second most expensive, costing $37.80 per panel.

One big change, however, is a new WLAN/Bluetooth module that is the same core chip as before, but has been shrunk. They have also isolated the Bluetooth and WLAN antenna from the enclosure/antenna assembly to eliminate some of the signal problems of the GSM iPhone 4.

“With the CDMA iPhone 4, Apple Inc. has shown once again that it never recycles a product design,” said Andrew Rassweiler, senior director of teardown services for IHS.

“Apple’s new designs always exhibit changes, evolution and optimization. This approach is evident not only in the antenna design but also in items like the integrated GPS functionality and the shrinking of the Wi-Fi/Bluetooth combo module.”

It seems that by moving to Verizon, the new iPhone isn’t just more profitable… it’s a better phone to boot.


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