The Apple watch costs about 85$ to make

[Godlygamer23]

Blame inflation. This is just dumb.

All companies want to make a profit. If they sold it at the cost of manufacturing, they would lose money due to R&D and marketing costs. By selling it at the price of $350, they can get back their lost money back.

[.spider.]

Well that is what patents are for so people cannot steal your ideas.

You can't patent everything

You seem to think apple just go to Foxxcon, pick parts off the shelf and ask them to put them together.. which is 100% NOT what happens

K

[ShadowCaptain]

SNIP

 

You can try , you can patent designs, manufacturing processes and other things like that

obviously it doenst always work, heck look at the recent thing with Jaguar/Land Rover and China !! 

 

I just wanted  you to explain further by what you meant.. you seem to think the parts manufacturers spend money developing parts for apple.. instead of Apple paying them do develop things for Apple - which costs.. A LOT of money

[Godlygamer23]

You can't patent everything

Patenting patenting.

[Juggernautilus]

LOL this is a joke. Everyone knows that Apple only sells supreme quality products. And they care about the their business. They care about me. Samsung on the other hand sells way OVERPRICED products and makes them in gold because they think that is what is important... loosers.

Obvious troll or just stupid?

[TheModMonster]

Obvious troll or just stupid?

How could this be a troll? Me and apple are just best buddys. you just jelious.

[.spider.]

instead of Apple paying them do develop things for Apple - which costs.. A LOT of money

Like they payed GT advanced?

[Inkz]

Meh, most mobile device have a large markup. For example the Note 4 has a bom cost of about  $260 and sells for over $700. I would like to see the cost of the edition watch(dumb name I know) for how much the gold adds towards the $10,000 cost.

[Juggernautilus]

How could this be a troll? Me and apple are just best buddys. you just jelious.

Alright, seems like I got my answer.

[ShadowCaptain]

Like they payed GT advanced?

 

GT signed a contract with Apple to produce a display, less than one year later they filed for Bankruptcy - that agreement cost near $600 million !!! 

 

the company fucked up - Apple bailed

[KirbyTech]

 

 That gold definitely adds like 5k...

No, look up how much gold it is and the current price of gold. No where near 5k, also apple did some cheap move where because gold k is measured by weight ratio they used pure gold and something else that is lighter than normally used dropping the total amount of actual gold needed. Smart move for them but just makes me despise the Edition more.

[ShadowCaptain]

No, look up how much gold it is and the current price of gold. No where near 5k, also apple did some cheap move where because gold k is measured by weight ratio they used pure gold and something else that is lighter than normally used dropping the total amount of actual gold needed. Smart move for them but just makes me despise the Edition more.

 

They did it to produce a stronger gold that wont scratch or dent as easily as normal gold

 

the edition model is more a status / aesthetic thing

[spartaman64]

LOL this is a joke. Everyone knows that Apple only sells supreme quality products. And they care about the their business. They care about me. Samsung on the other hand sells way OVERPRICED products and makes them in gold because they think that is what is important... loosers.

not really samsung has been taking really thin profit margins lately thats why they sell more phones but make less profit

[Sousuke]

Remember guys that bringing a product to market costs a lot more than just the manufacturing & material costs.

 

Products have years of Research and Development and this first stage is the most expensive part of any high quality device in both hardware and software.

 

Then there is product testing after that securing manufacturing facilities to make the product at a rate in which can supply the demand.

 

Developing the services backbone and infrastructure.

 

Marketing to ensure that the product sells (Not an issue for Apple but meh).

 

Then there is the after care, warranty costs companies quite a lot of money especially in a first generation product.

 

There is just too much money plowed into these different stages to be able to count (Unless Apple told us directly).

[MblaZe7run]

After hearing that the Edition edition is not a true metal alloy, I the 10k model costs about 2k to make

[.spider.]

Apple bailed

OK, I think a further discussion is pointless.

http://mobile.reuters.com/article/idUSKCN0J31W620141119

[jaggysnake57]

who cares...none of that includes the price to R&D it and yes they will spend serious money on R&D. nor does it include the cost to make them or how much is lost from faulty watches that never even leave the factory.  oh and news flash, if you think tat apple are the only ones to make huge sums of money from selling there products then your wrong. sit you want to see the markup in the service industry!...it simple if you dont like the product dont buy it.

[ShadowCaptain]

OK, I think a further discussion is pointless.

http://mobile.reuters.com/article/idUSKCN0J31W620141119

 

no reason to take that tone

 

This is just one companies word against another. Maybe apple were the bastards and did this deed to shut them down etc I can probably believe that

 

Regardless, I was making the point that it costs hundreds of millions to have these parts manufactured, a BOM costs is only scratching the surface of what a device costs from A-Z - costs of parts are just a small part of the overall costs

[Victorious Secret]

RD and marketing were not added to this, and those are genuine costs. Also, the BOM cost is much lower for Apple. They don't buy in the hundreds of thousands, they buy in the millions.

 

They can get prices that most brands can only dream of. So the component cost might very well be lower, but the overall cost may be much higher. RD'ing a product like this isn't cheap. On any level. Those costs can run into the hundreds of millions just for new production lines, new material sources; whatever. Stuff adds up quick when you are launching a new product that has no existing infrastructure for production. 

[asim1999]

who cares...none of that includes the price to R&D it and yes they will spend serious money on R&D. nor does it include the cost to make them or how much is lost from faulty watches that never even leave the factory.  oh and news flash, if you think tat apple are the only ones to make huge sums of money from selling there products then your wrong. sit you want to see the markup in the service industry!...it simple if you dont like the product dont buy it.

Well they use Chinese workers (cheap labour), so not much more to build 

[totjup5]

I half expected it to be even less than that.

[Victorious Secret]

Well they use Chinese workers (cheap labour), so not much more to build 

 

 

You don't understand how research and development works do you, or why its so expensive? 

[KirbyTech]

They did it to produce a stronger gold that wont scratch or dent as easily as normal gold

 

the edition model is more a status / aesthetic thing

Okay but they could use a material close in weight?

[ShadowCaptain]

Okay but they could use a material close in weight?

 

I am not a metallurgist so I have no idea, its a completely new metal they have created

 

"gold" etc (esepcially used in jewelry) has no real worth only the market value placed on it, the same could be said for whatever apple has developed

[Nineshadow]

They did it to produce a stronger gold that wont scratch or dent as easily as normal gold

 

the edition model is more a status / aesthetic thing

Yeah, they made it more scratch resistant by not putting as much gold in it.

 

It has "18k" gold that has less actual gold than normal 18k gold.