Users who wish to buy iPhone 6 Plus rather than the iPhone 6, will have to pay $100 extra. However for Apple, the iPhone 6 Plus costs only about $16 more to produce.
The bill of materials (BOM) of the iPhone 6 Plus amounts to $211.10, and rises to $215.60 with the additional $4.50 manufacturing cost added. This is only $15.50 higher than the total for the iPhone 6.
“In the past, the premium versions of iPhone offered higher memory configurations for additional profit. While Apple continues this memory strategy, the company is also taking a similar approach with the iPhone Plus, structuring its pricing to add bottom-line profit on models that have a very desirable feature: a large phablet-sized display.” said Andrew Rassweiler, senior director, cost benchmarking services for IHS.
The 16GB version of the iPhone 6 is priced at $200 with a contract from a wireless operator whereas the iPhone 6 Plus is priced for $300. The pricing for the two phones is $649 and $749 without any contract.
The most noticeable difference between the two new Apple smartphone models is the display, with the iPhone 6 sporting a 4.7-inch screen, and the Plus coming in at 5.5 inches. However the large does not account for the entire cost differential between the two phones; the Plus also carries higher BOMs for its enhanced camera and battery subsystems.
Both the smartphones sport IPS LCD displays. Because of its larger size, the display/touch-screen subsystem in the iPhone 6 Plus carries a cost of $52.50, compared to $45.00 for the iPhone 6.
The iPhone 6 Plus battery has a capacity of 11.1 watt-hours (Wh), compared to 6.91 Wh for the iPhone 6. Because of this, the battery subsystem in the Plus is $1.00 more expensive than in the iPhone 6.
Both iPhones have more capacity than the 5S, which came in at just 5.92 Wh. Also, the camera of the Plus is $1.50 more expensive than in the iPhone 6.
The A8 in the iPhone 6 and iPhone 6 Plus models costs $20.00, compared to $17.00 for the A7 in the iPhone 5S.
The new iPhone 6 and 6 Plus feature an accelerometer from Bosch Sensortec and the 6-axis sensor from InvenSense. The new iPhones also have a barometric sensor, marking the first time Apple has employed this type of sensor in its smartphone line.
To support the new Apple Pay feature, the new iPhones add a near-field communication (NFC) chip, another first for Apple’s smartphones. The latest phones include the PN65V NFC controller from NXP Semiconductors, as well as a previously unseen NFC-booster integrated circuit from AMS.