The Counterpoint Research report unveils the production cost of the iPhone 15 Pro Max, Apple’s latest flagship, shedding light on the surprising investment in materials alone. The blended bill of materials (BoM) cost for the iPhone 15 Pro Max, as per the report, stands at $502 or approximately Rs 41,865. This indicates an 8% increase from the production cost of the iPhone 14 Pro Max. It’s essential to note that these costs are specifically for the base model featuring 256GB of storage.

Various factors contribute to the escalated production cost. A notable contributor is the A17 Pro chip, manufactured with cutting-edge 3-nanometer process technology. This inclusion adds $30 or Rs 2,500 per unit to the production cost, surpassing the A16 Bionic chip used in the previous model. Apple’s exclusive deal with TSMC to acquire these 3-nanometer chips ahead of schedule plays a pivotal role in this cost increase.

Furthermore, the iPhone 15 Pro Max integrates a new tetraprism lens for 5x optical zoom, incurring a cost of $25.1 or Rs 2,100 more than the zoom lens in the iPhone 14 Pro Max. Another contributing factor is the replacement of the stainless steel frame with a new titanium alloy frame, leading to an additional cost of $7 or Rs 600.

iPhone 15 Pro Max in Blue Titanium!!😍 pic.twitter.com/aTin1rXXas

— Jay’s Tech 𝕏  (@jaydenstech) November 5, 2023

Despite the upswing in production costs, the iPhone 15 Pro Max maintains the highest profit margin among Apple’s current lineup. This report underscores Apple’s remarkable control over design, scalability, costs, and profits—a level of control that distinguishes the company within the industry.

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