Google’s new Nexus 7 is hitting retailers in Anglo-Saxon markets as we speak, so IHS used the opportunity to unveil the results of its teardown analysis.
IHS puts the Nexus 7 8GB bill-of-materials at just $152, significantly lower than a previous teardown by TechInsights, which placed the BOM cost at $184.
As for the Nexus, the 8GB BOM is $151.75, while the 16GB model costs $159.25, or about $8 more. Google is charging a $50 premium for the 16GB model and since the Nexus lacks a microSD slot, quite a few consumers could opt for the larger version.
“That’s a slightly better tear-down price than I was expecting,” BGC Partners Colin Gillis, who had estimated a cost of more than $160 each, said in an interview. “No one wants to lose money so you want to build them to at least break even.”
If the drop in Kindle Fire component costs is anything to go by, the Nexus could make Google a pretty penny, if it manages to sell any.