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G4Games » Gadgets » Report: Apple’s iWatch To Be Priced Around $265 While Costing Apple Only $77 To Manufacture It

Report: Apple’s iWatch To Be Priced Around $265 While Costing Apple Only $77 To Manufacture It

by Mihai Matei on April 10, 2014


The smartwatch market has gained so much attention lately, that a summit for wearable devices has been held in Shenzen China, earlier today. The future of the wearable market has been discussed, and topics such as “mobile health” have also been touched.

And what’s a summit focused on wearable devices without the iWatch? The gadget in question, which as we all know has been the subject of countless leaks and rumors, has apparently been one of the topics of discussion during the aforementioned summit. As such, we now have more info regarding the smart-watch’s price and production costs. Details after the break.

Apple's iWatch To Be Priced Around $265 While Costing Apple Only Around $77 To Build It

Apple’s iWatch To Be Priced Around $265 While Costing Apple Only Around $77 To Build It

iWatch Production Cost and Price Revealed?

According to Taiwan’s Topology Research Institute, cited by Sun Chang Xu (news chief analyst at ESM-China) via her latest post on the Chinese social network Weibo, the estimated cost for producing the iWatch will be $77, while the handset’s full retail price will supposedly be roughly 3.5 times higher; or a total of $265.

Sun Chang Xu suggests that the reason for the price being 3.5 times higher is because Apple needs to maintain a 50+ percent gross margin. Should the iWatch be priced at double the costs of production, the gross margin would drop to 20%.


In contrast to these reports, other analysts have predicted that the iWatch will be retailed in a variety of flavors, at different price tags. The most fashionable model could cost “several thousand US dollars” according to KGI Securities analyst Ming Chi Kuo.

Any thoughts regarding these reports? Do you think a price of $265 would be a good place to start for the rumored iWatch? Feel free to join us in the comment section.

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