Moto X costs $221 to build, teardown apparently reveals

August 27, 2013
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Moto X

A new Moto X teardown has apparently revealed that the cost of manufacturing a single unit is a little over $200 – a previous teardown has looked at the internal components of the handset, without offering a bill of materials for (BOM) for it.

IHS puts the number precisely at $221, and while the BOM isn’t confirmed by Motorola at this time, we should have no reason not to trust the company, which has provided similar data for other mobile devices in the past

According to IHS (via AllThingsD), “Motorola is paying a premium for a made-in-America phone, but it’s also giving them the ability to do the customization work easily.”

The Moto X is priced starting at $199.99 for the on-contract 16GB version, while the same model purchased without a contract costs $579. The 32GB version costs $249.99 or $629.99, depending on whether it’s bought with or without a contract, respectively.

We’ve seen many comments regarding the unexpectedly high price of the Moto X since the handset was unveiled, and we won’t go into that debate again. Instead, let’s look at some of the costs involved, as assessed by IHS – we’re looking at the price Motorola reportedly pays for one Moto X unit:

  • $209 – total cost of components
  • $12 – manufacturing cost, reported to be $4-5 higher than the cost of making the phone in Asia.
  • $28 – cost of Qualcomm Snapdragon S4 processor part of the Motorola X8 system.
  • $43 – in addition to the Snapdragon S4, Qualcomm also provides the chips for Wi-Fi, Bluetooth, cellular connections, power management and audio. In total the company gets almost $43 for each Moto X unit.
  • $4-5 – cost of two Texas Instruments chips (contextual computing and always-on voice chips) part of the Motorola X8 system
  • $64.50 – cost of the 4.65-inch Samsung display and “chips to run it.”

In addition to the components mentioned above, the Moto X also packs a camera chip from Omnivision, wireless chip from Skyworks, accelerometer and gyroscope from STMicroelectronics, and microphones from Wolfson Microelectronics.

Have you purchased a Moto X unit yet?

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