iSuppli Pegs The Apple TV's Parts List At $64

The Apple TV isn’t much more than a Samsung-made A4 processor, 8GB of flash memory, and a connectivity chip. iSuppli says those components along with the casing and power supply only costs $63.95. Not too shabby considering the original $300 Apple TV contained $237 worth of parts and was sold at a 20% manufacturing margin. The new one retails for $100, which works out to 35% above the cost of the parts. Of course that’s not pure profit for Apple seeing how the price of the device also covers R&D along with marketing, but at least the parts are cheap and Apple’s margin improved over the previous generation.