How Much Does It Cost To Make iPhone 4 (AAPL)

iSuppli has concluded from their research that it costs $188 to manufacture one iPhone 4. The estimate is very low and explains how Apple AAPL is able to benefit from economies of scale and make large margins on low cost products. Apple is able to get a Gyroscope chip at $2.60, which would normally cost around $2.90. TechCrunch, however, says that iSuppli might be reporting the numbers lower so that manufacturers will contact their preferred suppliers. Now, you can assemble your own iPhone as all types of replacement parts are available at iFixIt, which would be cheaper than buying one from Apple.