What does a Kindle 2 really cost?
Posted in This Just In... on April 22nd, 2009 by gkrakow
According to a new iSuppli teardown, it reportedly costs Amazon.com just under $200 to build a Kindle 2 for you. $185.45 to be exact (minus R&D, marketing, distribution, etc.)
When you add up the prices for all the materials (such as the printed circuit board: $9.83, display screen: $60, Qualcomm processor: $13.18, rechargeable battery: $7.50, etc.) you come up with a number a lot less than the $359 that Amazon charges for it. Actual 49-percent less.
To be fair, Amazon’s asking price includes free data connectivity via Sprint’s wireless, 3G data network. Kindle doesn’t use much of Sprint’s EV-DO resources and free wireless is a terrific selling point.
My favorite fact is that the RAM and flash costs less than the outside enclosure ($4.45).
Do you feel bad about not owning an iPhone? Is it that you don’t want to be like everyone else? Or maybe you’d rather not switch carriers. Or you don’t want to spend $200-$300 – plus nearly $100 per month – for a cell phone? Then again, maybe you refuse to use a cell phone at all.



At Radio Shack of all places!