iPhone 15 Pro Max Production Cost Increases by 8% Due to New Chip, Lens, and Titanium Frame
Despite higher production costs, iPhone 15 Pro Max maintains highest profit margin in lineup due to discontinuation of 128 GB variant and increasing base price for 256 GB model.
- The 256 GB iPhone 15 Pro Max production cost is approximately $502, which is $37.70 higher than its predecessor, due to the introduction of the 3-nanometer A17 Pro chip, the Tetraprism lens, and a titanium frame.
- The A17 Pro chip alone adds $30 to the cost, the new telephoto lens costs an additional $25.1, and the titanium frame, which replaced stainless steel, adds $7 to the production cost.
- Despite the increased production cost, the iPhone 15 Pro Max retains the highest profit margin in the Apple's lineup, primarily due to the discontinuation of the 128GB variant and the increased base price of $1,199 for the 256GB model.
- The iPhone 15 lineup, launched in September, features numerous upgrades including a revamped camera, extended battery life, and a novel titanium frame. These enhancements, reportedly not deterrents to consumers, have resulted in the iPhone 15 maintaining over 70% of its value since its launch.
- The report also highlighted Apple's significant control over its products’ design, scalability, costs, and profits, a level of influence rarely seen in other companies. These findings, however, do not account for R&D and shipping expenses.
Benzinga 
9to5Mac 
