Cost of building iPhone 5 is $215: Barclays Report

It cost about $215 to build Apple Inc's hot selling iPhone 5, according to new research report by Barclays PLC.

According to approximations of Bill-of-Material (BoM), a relatively stable pricing has been witnessed in iPhone 5 and iPads component cost in December.

Using Apple's 32 GB iPhone 5 as a standard model to work outBOM for a typical iPhone, Barclays estimated $215 as the total materical cost for a typical iPhone 5 that excludes the value of warranty, manufacturing costs, significant logistics expenses and other cost components.

"We estimate that NAND Flash accounts for about 10 per cent of the total iPhone cost, wireless components account about 16 per cent and the display about 20 per cent of the total."estimated Barclays.

Barclays believes that the BOM for iPhone 5 might have declined slightly in the month of December, last year. This decrease is however independent of the logistics costs that improved over that period.