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The Apple Watch Only Costs How Much to Make?

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This story originally appeared on Reuters

s Watch has the lowest ratio of hardware to retail price across any Apple phone, according to a preliminary estimate by research firm IHS after a teardown study.

Apple
Apple Watch

The hardware of an Sport model was about 24 percent of the suggested retail price compared with 29-38 percent for the maker's other products, IHS said on Thursday.

The Apple Watch Sport 38 mm costs $349 and the teardown shows a bill of materials of $81.20 with the cost of production rising to $83.70 when $2.50 in manufacturing expense is added, IHS said.

(Reporting by Supantha Mukherjee in Bengaluru; Editing by Kirti Pandey)

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