Palm Pre Costs $170.02 to Make Says iSuppli

April 30, 2009 by Rico Mossesgeld  
Filed under Cellphones, Home Entertainment

At the very least, each Pre costs $170.02 for Palm to produce, reports the analysts at iSuppli:

palm-pre-webos-lg2

  • Hardware - $137.83
  • “manufacturing and basic test costs” - $9.58
  • “software and licensing costs” - $22.61
  • “shipping, logistics, marketing and other channel costs” - unknown
  • Regaining the developer passion that created thousands of useful apps for the old Palm OS - priceless
  • Getting the most out of its partnership with Sprint - priceless
  • Marketing the gadget like their lives depended on it (because it really does) - priceless

Oh don’t mind the last three items: those are some of the things I think Palm has to do if the Pre has any chance of making an impact. Regaining the good ol’ glory days—and making money of an app store—can come later.

(image courtesy of Palm)

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One Response to “Palm Pre Costs $170.02 to Make Says iSuppli”

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    1. [...] The last sentence of that money quote does make sense. After all, if you’ve spent years licensing—and earning—off manufacturers who want to use your mobile platform, you don’t kill that kind of Golden Goose. This remains true even if your mobile platform has steadily lost market share and presence to Apple’s offerings, and even a yet-to-be-released smartphone from Palm. [...]



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