Rs 12,000. That’s All Your iPhone 5S Actually Costs.

Just yesterday we got you news that theiPhone 5S is selling for as high as Rs 1 lakh in the grey markets of Mumbai and Delhi in India. While the price is for the much coveted iPhone 5S Gold, the silver and black variants aren’t exactly any cheaper. However, according to a recent report by IHS, making the all new iPhone 5S isn’t exactly any more complex or expensive than manufacturing the previous version. All said and done, the all new iPhone 5S costs just $200 or approximately,  Rs 12,000 to manufacture.

According to data provided by IHS, a total of the components used to make the iPhone 5S costs approximately $190.90. Putting these components together and manufacturing the actual device you hold in your hand is a measly $8 extra. The total cost of the iPhone 5S isn’t any more than 198.70 dollars. This is just a little over a dollar expensive to manufacture as the iPhone 5 cost $197 to make.

iPhone 5S

There’s no real change in design in the iPhone 5S. The only new hardware additions are the flash, the Touch ID sensor and the 64 bit chipware. These additions have clearly fit well under one dollar making it a real sweet deal for Apple.

Clearly, with the prices ranging from over 10,000 dollars on popular auctioning sites to over Rs 1 lakh in India, Apple has more than enough of their share of profits in the kitty.

iPhone 5S or the next ‘big’ iPhone is not any different from the previous model, clearly in terms of making. But how does the now tagged along younger sibling fare?

iPhone 5C is clearly the budget option for the iPhone 5S. Try as they might, Apple cannot take away the 'cheap' moniker from iPhone 5C and replace it with the actual iPhone 5 Colourful. iPhone 5C might be the cheaper variant but how expensive is it to make?

The phone is clearly nothing more than a pastic-moulded and slightly revamped iPhone 5. Therefore, the making of the iPhone 5C shouldn't really cost any more. And indeed it doesn't. Infact, iPhone 5C manufacturing is relatively cheaper than that of the iPhone 5. According to IHS data, making the iPhone 5C doesn't cost anything more than $173.45, keeping in mind both, the components and making parts.

iPhone 5C

iPhone 5C might be Apple's answer to iPhone enthusiasts in emerging markets like Asia but the pricing of the phone hasn't exactly endeared the device. While rumours are rife that iPhone 5C will cost nearly Rs 40,000 in India, the phone is pegged at $549 in the US. If those honchos at Apple call Rs 40,000 cheap, they really live in their Silicon Valley bubbles and need a wake-up call. Soon.

Even if Apple decides to reduce costs and bring down the price, chances of iPhone 5C being cheaper than iPhone 5 are remote. And with the exact same features and phones marketed in plastic at a premium cost, it might be better for you to buy the iPhone 5 which is sure to get a heavy price drop.

Whatever the manufacturing costs be, the profits are clearly flowing to Apple coffers... There is a price for innovation, you argue? Oh well. If you say so!