Teardown reveals 46.1% markup for new iPod nano
While the top-of-the-line 8 GB Apple iPod nano still retails for $199, the completely revised new model costs Apple about $7 less to build than the previous edition, based on a preliminary teardown analysis by iSuppli. With a bill-of-materials at $82.85 per unit, according to iSuppli's estimate, Apple enjoys a nearly 42% markup in retail price.
Of course, that's not the company's wholesale margins for its resellers, though a great many units are sold through Apple Store outlets and through Apple.com - where it can feel the full benefit.
The big surprise was the use of Micron flash memory instead of Samsung memory. It was believed the deal Apple made with Samsung for the memory for the first nano was a big coup, yet Micron is supplying the memory in the new nano, though Samsung is still supplying the SoC chip.