2008-06-18

iPhone: 6 Billion Dollar Profit, per year

According to Mobilitysite, Apple will generate a profit of $300 per iPhone (before paying for things like research and development and Steve Jobs' salary ($1)). $300 times an expected 20 million iPhones next year and you get 6 billion dollars. So take away Steve's salary and that leaves you with $5,999,999,999. Granted, those are American dollars. The good news is that most of the research and development was done in American dollars.

Say it somehow cost a billion dollars to develop the iPhone. That is about a 5 billion dollar profit next year alone (more when you consider that they will easily pay off the development costs this year). Granted, Apple has to continue funding the R and D department in order to come up with future models. And there is no way they can continue selling 20 million units a year, right?

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