Initial iSuppli report estimates production cost of 16GB iPhone 5 for $207

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Date: Wednesday, September 19th, 2012, 07:20
Category: Hardware, iPhone, News

The exact cost of an iPhone 5 is still under wraps until the handset’s release on Friday, but there’s still a pretty good guess in the meantime.

Per a report released by iSuppli on Tuesday, Apple apparently pays an estimated US$207 to build the base model 16GB iPhone 5, a cost slightly higher than last year’s iPhone 4S.

The market research company noted in its report that while previously-expensive NAND flash memory prices have dropped, the iPhone 5′s display technology and 4G LTE wireless components brings the build cost up to US$207, or US$8 more than consumer pricing after wireless carrier subsidies. In comparison, the bill of materials, or price without labor costs, for last year’s iPhone 4S was estimated to be $188.

In total, the iPhone 5 is estimated to have a BOM of US$199, while the 32GB model rises to US$209 and the 64GB version jumps to US$230. With a manufacturing cost of US$8 across the line, the final cost comes out to US$208, US$217 and US$238 for the 16GB, 32GB and 64GB models, respectively.

A report last Friday from UBM TechInsights pegged the 16GB iPhone 5′ BOM to be around US$168, substantially lower than the IHS estimate.

The most expensive part in the iPhone 5 is the new 4-inch display which comes in at US$44. Apple is sourcing its screens from multiple suppliers, including LG Display, Japan Display and Sharp, as manufacturing the cutting-edge in-cell displays is complex and results in relatively low yield rates.

“The iPhone 5 makes a big evolutionary step in technology that we have not seen elsewhere with the use of in-cell touch sensing,” said IHS Senior Principal Analyst, Teardown Services, Andrew Rassweiler. “Most other smartphones LCDs use a completely distinct capacitive touchscreen assembly that is physically separate and placed on top of the display. The iPhone 5 partially integrates the touch layers into the display glass, making the product thinner and reducing the number of parts required to build display that senses touch without the need for a separate capacitive touch layer.”

Instead of sandwiching the touch sensing layer between glass substrates, Apple’s in-cell technology integrates the capacitive components with the LCD array, thus doing away with at least one layer of glass.

The company is expected to be using a US$34, LTE-capable wireless system from Qualcomm similar to the one found in the iPad 3. However, the new iPhone’s subsystem swaps out the first-generation MDM9600 baseband processor for the more advanced and power efficient second-generation MDM9615.

In previous years, NAND flash memory was one of the more costly components, however current prices have nearly halved in less than one year.

“NAND flash continues to come down in price as manufacturing processes for these memory chips become more advanced,” Rassweiler said. “And because it is the world’s largest buyer of NAND flash, Apple gets preferential pricing. Apple’s massive leverage in this market is reflected in our price estimate.”

Finally, the firm is estimating Apple’s new A6 processor is a bit more expensive at US$17.50 than the A5 found in the iPhone 4S, which cost US$15 in 2011.

A more comprehensive analysis of the new handset’s internal parts is expected to be completed later this week, when the iPhone 5 hits store shelves on Friday.

Stay tuned for additional details as they become available.

Apple component hints towards full gigabyte of addressable RAM on iPhone 5

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Date: Monday, September 17th, 2012, 07:48
Category: Hardware, iPhone, Rumor

If you’ve been hankering for an iPhone with a full gigabyte of RAM onboard, your wish might be about to come true.

Per AnandTech, slides of Apple’s A6 chip presented at the company’s iPhone 5 debut event on Wednesday reveal the processor likely holds 1GB of RAM, double the amount found in the legacy iPhone 4 and 4S handsets.

The unobscured parts numbers seen on the chip point to a Samsung DRAM component which boasts 1GB of addressable RAM.



The part number emblazoned on the A6 is K3PE7E700F-XGC2 which, according to Samsung’s 2012 product guide is a package-stacked DRAM module. This is in line with Apple’s A-series SoCs, which implement a package-on-package design to save space.

Breaking down the part number, “K3P” points to a dual-channel LPDDR2 package with 32-bit channels, while the “E7E7″ designation denotes the 512MB density of each DRAM die, which comes out to a total of 1GB of RAM. Finally, the “C2″ yields the part’s 1066MHz cycle time/data rate.

The publication notes the new package should give the A6 a 33 percent boost in peak memory bandwidth compared to the iPhone 4S.

It was recently speculated that the new A6 processor could hold the company’s first custom-designed CPU core, a departure from previous A-series SoCs which relied solely on ARM’s patented technology.

Stay tuned for additional details as they become available and hey…a full gig of RAM!!!

Apple announces September 19th release date for iOS 6

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Date: Wednesday, September 12th, 2012, 10:41
Category: iPad, iPhone, iPod Touch, News, Software

iOS 6 is almost here.

Just wait a week.

On Wednesday, Apple Senior VP of iOS Software Scott Forstall announced that the next major update to Apple’s mobile operating system, iOS 6, will be available for the public to download and install in one week, on Wednesday, September 19th.

iOS 6 will be available for the iPhone 4S, iPhone 4, iPhone 3GS, new iPad, iPad 2 and iPod touch. The OS update launches two days before the iPhone 5 is set to debut.

Stay tuned for additional details as they become available.

Apple announces iPhone 5, handset to go on sale September 21st

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Date: Wednesday, September 12th, 2012, 10:21
Category: iPhone, News

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The Apple online store is being updated right now.

And for good reason.

At long last, Apple on Wednesday unveiled its iPhone 5 handset. Per Macworld, the new device features a taller screen, a new dock connector port, LTE support, and other changes.

The new handset, which is now 7.6mm thin and weighs 112 grams, now incorporates a 4-inch display that offers 326 pixels per inch and 1136 x 640 resolution.

Apps that aren’t updated don’t stretch or scale but will display letterboxed on the iPhone, with black borders surrounding the centered app.

The iPhone 5 offers 44 percent more color saturation than the iPhone 4S, Schiller said, and because the touch sensors are integrated right into the display, it’s 30 percent thinner, with sharper imagery, and less glare in sunlight.

New to the iPhone 5 is LTE, HSPA+, and DC-HSDPA support. That’s on top of the GPRS, EDGE, EV-DO, and HSPA that the iPhone 4S offered. Apple VP of Worldwide Marketing Phil Schiller said that with LTE, the iPhone 5 can achieve a “theoretical maximum downlink of up to 100Mbps.”

Schiller explained that the iPhone 5 uses one baseband chip for voice and data and a single radio chip. The new phone also improves upon the iPhone 4S’s dynamic antenna, Schiller said, improving its ability to automatically switch to different networks as appropriate.

LTE partners for the iPhone 5 include Sprint, AT&T, and Verizon in the U.S, and Rogers, Fido, Bell, Telus, and more in Canada. Schiller said there are “plenty” of LTE partners in Asia, Australia, the UK, and Germany, with lots of DC-HSDPA support in Europe as well.

The iPhone 5 also gains better Wi-Fi, with support for 802.11 a/b/g/n. The 802.11n standard is 2.4GHz and dual channel 5GHz, up to 150 Mbps, Schiller said.

The processor in the iPhone 5 is the brand new Apple A6, which is twice as fast at CPU and graphics processing compared to the A5 that drove the iPhone 4S, Schiller said. It’s also 22 percent smaller than its predecessor, freeing up more space inside the iPhone, and making it more energy efficient to boot. Schiller said that everything—launching apps, viewing attachments, loading music—would be twice as fast as before.

Schiller explained that Apple wanted “to match the battery life of the 4S in a thinner and lighter design” for the iPhone 5. The company ended up exceeding that battery life; the iPhone 5 will offer eight hours of 3G talk time and browsing and LTE browsing, ten hours of Wi-Fi browsing, ten hours of video, 40 hours of music, and 225 hours of standby time.

The iPhone 5’s camera sports an eight megapixel sensor, 3264 by 2448 pixel images. It’s backside illuminated, with a hybrid IR filter, five-element lens, and a fast f/2.4 aperture. And the camera is 25 percent smaller than the iPhone 4S’s camera. The camera also includes a dynamic low-light mode, which can sense low light and combine elements for two f-stops greater.

The camera also includes, for the first time on an iPhone, a sapphire lens cover, which Schiller said would protect the lens and make images cleaner and sharper.

The A6 chip includes a new image signal processor, with spatial noise reduction and filtering to improve photographs. And the camera’s now 40 percent faster, too.

Also new in the iPhone 5’s camera arsenal is Panorama. You hold the iPhone vertically and sweep your scene; the app tells you at what speed to move. “Even if you’re not perfectly stable,” or if movement artifacts are introduced, Schiller said, the software can compensate in the final image.

Video performance is improved, too. The iPhone 5 offers 1080p HD video, improved video stabilization, face detection for up to ten faces, and can take photos while you’re recording video. The front-facing camera is now a FaceTime HD 720p HD camera with backside illumination, a significant improvement over the iPhone 4S’s VGA-quality front-facing camera.

The iPhone 5 includes three separate microphones, Schiller said: One on the front, one on the back, and one on the bottom. They improve noise cancellation and voice recognition.

The speaker gets improved, too. It now includes five magnets in its transducer, with better frequency response and better sound—while being 20 percent smaller than the speaker in the iPhone 4S. The earpiece is now noise-canceling, too, Schiller said.

With some carriers, the iPhone 5 will support wideband audio. In a typical cell phone call, the frequency of data in your voice is compressed around the midrange, Schiler said. But that doesn’t sounded entirely natural. Wideband audio fills up more of the frequency spectrum to make your voice sound more normal. Schiller said 20 carriers will support the technology at launch, and didn’t mention any U.S. carriers that would.

If you wondered as to whether Apple would adopt a new connector type to replace the Dock connector, the answer is “yes”. The iPhone 5 abandons the familiar 30-pin dock connector port, which first appeared with the original iPod in 2003. In its place is a smaller port, which Apple calls Lightning.

The 8-signal Lightning connector is all-digital, with an adaptive interface and improved durability. It’s reversible (meaning you can orient it either way, like a MagSafe adapter), and it’s 80 percent smaller than the connector it replaces.

Schiller announced that Apple would offer a 30-pin-to-Lightning connector, but didn’t mention pricing.

The iPhone 5 will come in an all black model, and a white model with a bright silver aluminum finish.

The iPhone 5 will be available September 21 in the U.S., Canada, UK, France, Germany, Australia, Japan, Hong Kong, and Singapore, with pre-orders starting on September 14. It will retail for US$199 for 16GB, US$299 for 32GB, and US$399 for 64GB—the same pricing as the iPhone 4S that preceded it. The iPhone 4S drops to US$99; and the iPhone 4 is now the free, entry-level iPhone. All those prices require two-year commitments.

The iPhone 5 will be available in 20 more countries a week later, and in 100 countries over 240 carrier partners by year’s end.

T-Mobile works to lure iPhone customers via unlocked iPhone 4S handsets, Value Push plan

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Date: Tuesday, September 11th, 2012, 07:07
Category: iPhone, News, retail

While T-Mobile may not yet be an official iPhone wireless carrier, they’re looking to make what money they can off the iPhone.

Per Engadget, T-Mobile has thrown caution to the wind and is offering unlocked iPhone 4S units into stores, customers being able to sign up for the carrier’s US$70-a-month (amongst others) unlimited plan anyway.

From September 12th, iPhone 4S display units will be rolled out in stores, with helpful sales staff around to swap out your AT&T microSIM for one of its own. You’ll also be able to get hold of network-specific apps like myAccount, Visual Voicemail and T-Mobile TV as soon as they’re ready. In order to make this marvel possible, it’s rolling out 1900MHz HSPA+ access to allow customers access to its wireless service.

Stay tuned for additional details as they become available.

China Unicom may break away from contract sales of iPhone, cites high overhead costs

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Date: Friday, August 17th, 2012, 06:20
Category: iPhone, News

Sometimes contracts don’t work as well as you’d like them to.

Per DigiTimes, China’s Unicom wireless carrier is struggling to benefit from its investment in contract sales of Apple’s latest iPhone models and is reportedly considering a move that would do away with traditional pricing discounts on the handset for customers willing to sign two-year service agreements.

As the only WCDMA carrier in China, China Unicom signed a two-year agreement with Apple back in September of 2010 to offer its iPhone subscribers the handsets at reduced pricing if they agree to 24-month service contracts.

But high overhead costs for the devices themselves, coupled with a need for continued investment in infrastructure to support surging growth and data consumption by iPhone users, has China Unicom mulling a move to end contract bundles of the phone come next month.

Company representatives have stated that China Unicom “has not substantially profited from sales of iPhone 4″ and therefore may not re-sign its agreement with Apple to continue sales of the iPhone 4S or a new version of the phone widely expected to make its debut in September.

Though no further details were reported, it appears that the carrier would continue to carry the iPhone but only market it to customers who are willing to pay full retail price for the device.

Although most iPhone carriers offer Apple’s latest device to customers at prices between US$199 and US$399 USD, they actually purchase the phones from Apple at much higher costs, then turn around and subsidize the handsets for customers, banking on recouping the overhead costs and making profits through two-year, high-margin service agreements.

For its part, China Unicom has been amongst the most aggressive with its subsidies, and earlier this year began offering the 16GB iPhone 4S at no cost to customers who sign up for multi-year service contracts for as little as US$45 USD per month.

With more than 125 million subscribers, China Unicom is China’s second-largest cell phone service provider. It’s also the tenth-largest worldwide. But its 3G business has reportedly been a money-losing operation, with high smartphone subsidies — like those required for the iPhone — accounting for 45% of its overhead.

As of January, the average selling price of an iPhone — or the price charged by Apple to carriers — was roughly US$660.

Stay tuned for additional details as they become available.

Sprint offers $100 gift card with purchase of iPhone 4S, Apple offers $100 store credit in return

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Date: Tuesday, August 14th, 2012, 14:27
Category: iPhone, News, retail

Let the incentives roll.

Per Business Insider, wireless carrier Sprint is now giving a $100 pre-paid gift card to new iPhone 4S buyers and Apple will be matching the deal by offering an Apple Store credit for the same amount.

The new incentive, the second in as many weeks from Sprint, comes ahead of an expected Sept. 12 launch of the next-generation iPhone and has prompted> Apple to make good on its promise to match iPhone pricing from major resellers, Business Insider has learned.

Sprint last week slashed the price of Apple’s iPhone 4S to US$149 not including a US$36 activation fee waiver, a move followed by other sellers including Target and Best Buy. Apple subsequently instructed its stores to match the discount prices being offered by the major retailers, limited to US$49 for the iPhone 4 and US$149 for the iPhone 4S.

With the new US$100 American Express pre-paid card, US$149 discount, activation fee waiver and free shipping, Sprint has effectively whittled down the cost of buying an iPhone 4S to US$50. There are stipulations, however, as the added gift card bonus is online only and lasts until Aug. 26. It is unclear if Apple will continue to offer the store credits after Sprint’s sale ends.

Stay tuned for additional details as they become available.

Rumor: Apple may begin selling next-gen iPhone in late September

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Date: Monday, August 13th, 2012, 12:26
Category: iPhone, Rumor

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The next-gen iPhone, it’s probably coming a lot sooner than you expect.

Per the cool cats at Boy Genius Report, Apple, which is expected to formally introduce its latest iPhone to the world on September 12th, could begin shipping the device to customers and selling the handset in retail stores just a week or two later, according to a new report.

Citing a trusted AT&T source, BGR reported Monday that the “carrier is currently planning to launch Apple’s next-generation iPhone during the third or fourth week of September, with an all-hands-on-deck policy in place for employees that will extend through to the middle of October.”

A second source reportedly added that a large training event for regional AT&T employees has therefore been rescheduled from the first week of October due to a conflict with a “huge announcement.”

A rapid go-to-market strategy that would have customers clutching Apple’s latest handset just days after being announced by the company is impressive but not unprecedented.

After repositioning its iPhone introduction from the summer timeframe to the fall, Apple last year introduced the iPhone 4S on October 4th and began shipping the device to customers and retail stores on October 14th — Just 10 days later.

Stay tuned for additional details as they become available

Target and Best Buy cut iPhone 4, 4S prices ahead of next-gen iPhone announcement

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Date: Monday, August 13th, 2012, 06:30
Category: iPhone, retail, Software

Following up on last week’s article about Apple’s lowering its iPhone 4 and 4S prices prior to the release of the next-gen iPhone, All Things D has pointed out that Target is now selling the 16GB versions of the AT&T and Verizon iPhone 4S for US$179 with contract, while Best Buy has dropped the price of the 8GB iPhone 4 for both carriers from US$99 to US$49.99.

The reductions come just days after it was reported that Apple retail stores were willing to match iPhone discounts offered by other authorized iPhone resellers.

Sprint was the first iPhone affiliate to provide incentives for consumers to consider purchasing an existing iPhone amid rumors of new models when it cut the price of its 16GB iPhone 4S models to US$149 while waiving activation fees for the handset.

The sales are designed to buoy sales of existing iPhones in the weeks leading up to Apple’s September 12th media event, which is all but certain to deliver the first official details on the sixth-generation iPhone (or so-called iPhone 5) ahead of its launch later that month.

Stay tuned for additional details as they become available.

Apple to price match retailers’ discounts, offer $49 iPhone 4, $149 price points on iPhone 4S models

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Date: Thursday, August 9th, 2012, 14:23
Category: iPhone, News

You can’t knock a decent deal…

Per MacRumors, Apple has instructed its retail stores to match the iPhone discounts being offered by major retailers including AT&T, Best Buy, Radio Shack, Target, Sprint and Verizon when customers present competitive offers.

Apple’s publicly advertised prices for the iPhone 4 and 4S are US$49.01 higher than a variety of retailers and carriers are currently offering, as the entire retail channel prepares to sell off existing models to make way for the upcoming iPhone 5.

Now, Apple Retail stores are authorized to match prices when customers request the discount and indicate where they saw it.

Apart form the already “free with contract” iPhone 3GS, this makes the 8GB iPhone 4 just US$49.99 rather than US$99, and drops the iPhone 4S price range from US$199, US$299 and US$399 for the 16, 32 and 64GB models to US$149, US$249 and US$349.

Stay tuned for additional details as they become available.