>> Yes but the premium that Amazon is charging, I also think is very high.
That is a deviation from the Amazon pricing model of hardware. They used to give it out free and then allow you to give them money through content. But here, the hardware is expensive. This means they are up to something - real phone company.
@wilber_xbox you are correct, the component actual cost will never be known to the rest of us. Many times the components are priced based on volume commitments and periodic payments that helps a component vendor meet shareholder expectations. No doubt most component vendors will have tiered pricing structures and also market-specific pricing (as in Asia, EMEA etc) coupled with a cut in SLA's (service level agreements).
I think once you know the hardware component then based on the average price you should be able to estimate the BOM. However, what i do not understand in most of the teardowns is the hidden cost estimates that are not considered so that the owner know the true value of the device. Such as how much a given technology is worth in money.
IHS just released its BoM figures and they are in line with Joel's estimates:
"The BOM of the Amazon Fire Phone equipped with 32 gigabytes of NAND flash memory amounts to $201, according to a preliminary estimate by the Teardown Mobile Handsets Intelligence Service at IHS Technology (NYSE: IHS). The cost of production rises to $205 when the $4 manufacturing expense is added."
@real costs we only cost the Bill of Materials components, Prime isn't a cost associated discretely with the device nor is Mayday. These and other software enabled services are a cost to Amazon (and other vendors to develop and support) and undoubtedly factored into the complete cost of a device or business unit, but are outside our device and IC level costing methodology.
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