iPad mini to cost Apple under $190 to make?

The iPad mini is currently a possible work of fiction, but tech obsessives out there have already set to work calculating how much the thing will cost Apple to make. Current best bets indicate the iPad mini will sell for $299 and add up to $189.32 in manufacturing costs – leaving Apple a $100 margin on each tablet sold.

Tech blogger Sameer Singh has produced a fairly comprehensive breakdown estimating the costs of each part of the iPad mini tablet, including “manufacturing” costs and “box contents”. The figures used are based on those of the iPad 2 and 7in-ish tablet rivals the Google Nexus 7 and Amazon Kindle Fire.

The most expensive of the lot is the iPad mini screen, at $49.54. It’s expected to be 7.85in across and use a resolution of 1,024 x 768 pixels – the same number as the first two iPads, which should make app compatibility a cinch. The bad news is that these are what each part costs Apple, so if you break your iPad mini screen, you’ll be looking at a repair bit of significantly more than $50.

iPad mini specs

Although these numbers shouldn’t be treated as anything more than speculation – especially as Apple has not said a single world about the existence of the tablet – they posit something interesting. Google is reportedly selling the Nexus 7 Android tablet at a loss. It sells for £159 in the UK, or £199 for the 16GB edition. These figures suggest that Apple will be able to make a decent gross profit off the iPad mini – 37 per cent to be exact.

This is contrary to those who might suggest the iPad mini is a desperate or scared reaction to lower-cost 7in Android tablets that are now becoming commonplace. Of course, as yet we don’t even know if the iPad mini is real. Fingers crossed we’ll find out on 12 September, the reported date of the next big Apple launch – iPhone 5 day, in other words.

Compared to the iPhone 5, which has been leaked more times than a dairy farm cow, relatively few iPad mini specs are known with any certainty. However, it’s possible that it’ll feature a dual-core processing chip rather than something more impressive-sounding, partly to keep costs down and partly because its relatively low-res screen doesn’t need any more grunt. Let’s not forget – the current iPad has four times the number of pixels that its dinky not-yet-born brother will sport.

We recently took to the streets to see what people think of the iPhone 5 and iPad mini. Here’s what they said –

via Cult of Mac

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