Despite the $129 premium between the WiFi iPad 2 models and their 3G counterparts, the cost difference to Apple is less than $19 USD. According to iSuppli’s latest findings, the 3G/HSPA iPad 32GB model costs $326.60 in parts, almost the same cost as the original iPad. Let’s take a closer look at the cost analysis.
The iPad and iPad 2 use the same components and suppliers for NAND flash, the multi-touch controllers, touch screen drivers and core chip in the wireless section as the iPhone 4. Other components such as the bluetooth, GPS and network chips are simply new revisions of the previous chips.
The iPad 2 display and touch screen subsystem are estimated to cost $127 compared to the $95 estimate of the original iPad. The cost can be attributed to the manufacturing challenges, more expensive glue for bonding, additional inspections and thinner Gorilla glass. The other change in cost is the A5 processor, which iSuppli believes costs 75 percent more than the A4 chip.
The GSM/HSPA iPad 2 32GB costs $326.60, the CDMA iPad 2 32GB costs $323.25. Compare to the WiFi-only models, the difference in cost comes from the Baseband/RF/PA which is $18.70 for the GSM version and $16.35 for the CDMA. When a 3G iPad 2 is purchase, Apple is truely taking this one to the bank.
via DigiTimes
