Apple Gets $831 for Every iPhone Sold Thanks to AT&T Payments

We already knew that the iPhone was making Apple money by the barrelload, but we didn't know exactly how much. Well, uh, you'd better sit down. According to the Financial Accounting Standards Board, Apple receives a whopping $18 per month from AT&T for each iPhone customer. That adds up to $432 for each two-year contract, or, including the price of the phone, $831 per iPhone.

Yes, Apple is making more than twice the retail price of the iPhone for every one sold. With cost analysis's putting the price of iPhone components at around $250, that means that Apple is pulling in around $580 in profit on each iPhone. Yeah, I know, they need to pay their designers and their advertisers and their rent and all the business overhead that comes with running a gigantic electronics company, but the fact of the matter is that Apple is pulling in over the full price of their iPhone in profit with each one sold. Now we know why they went with that five-year exclusive deal with AT&T, eh? It's basically a five-year contract with a money-printing machine. [NY Times via New Launches]