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The iPhone 7 could be Apple’s costliest smartphone build yet

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iFixit iPhone 7

The new iPhone 7 costs Apple more to build than any of the firm’s recent smartphones, according to a new teardown.

IHS Markit (via MacRumors) reckons the bill of materials used in the base 32GB iPhone 7, plus labour comes to $224.80 ($173).

That’s up $36.89 (£29) on last-year’s iPhone 6S, according to the same company. Dismissing the headphone jack, it seems, hasn’t saved Apple much cash.

Related: iPhone 7 review in progress

Even with an alleged hike in costs, Apple is still selling the base iPhone 7 for $649 in the United States. That’s still a whopping 189% markup before R&D, distribution, marketing and other costs are taken into account.

The report says the most expensive component remains the iPhone 7 display, which apparently costs Apple $43 (£33).

The Intel modem and related baseband chips are next at $39.90 (£30) and the new A10 Fusion rounds out the top three at an estimated $26.90 (£20).

You can see all of the results from the preliminary teardown on the Excel spreadsheet created by IHS Markit.

Remember, it’s important to treat these figures with a certain level of skepticism.

Apple CEO and former chief bean counter Tim Cook is on record as saying these estimates are never “anywhere close to being accurate.”

Video: iPhone 7 vs iPhone 7 Plus

Has the iPhone 7 snared you into an upgrade? Or left you waiting for the iPhone 8? Explain your decision in the comments below.

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