Phones & Utilities

Why Are Apple iPhones So Expensive?

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Whenever Apple releases a new iPhone, it has been a tradition for Singaporean consumers to queue up in the nearest Apple retailer. Apple fans participate in a childish display of smartphone rivalry between iPhone and its Android smartphone counterparts. Whichever side you are on, one thing remains the same. iPhones are so expensive!

Its hefty price is probably due to a combination of the following factors.


Whether you like it or not, an Apple iPhone comes with its own “ecosystem”. Apple designs and engineers not only the hardware of the phone, but also its software. The company gains a full control of your user experience.

Buying an iPhone entails purchasing its built-in apps and services such as Wallet, Pages, iMessage, FaceTime, and iCloud. Competitors may argue that they have similar features, but most of them rely on Android operating systems made by different companies including Google. It is natural for Apple to raise the prices of its phones as making both the hardware and software of a phone is resource intensive!


One cannot deny that Apple has brilliant marketing strategies. It positions itself as a higher-end product above its competitors. It became a status symbol for Singaporeans of the modern generation. This branding has worked thus far. However, I cannot be certain about its future.

You may be under the impression that iPhone sales are growing. That is not always the case! For the last few years, iPhone’s sales growth has been 5 % or less.


When purchasing an iPhone, you are also paying for the longevity of its software. I am referring to the consistent iOS updates and upgrades. These updates and upgrades can be downloaded by the owners of previous generation iPhones and iPads too. For instance, I still receive the latest software updates and upgrades from my iPhone 6.

Although Google releases Android upgrades periodically, these may not be readily available for many Android smartphones. This is due to the fact that there is a wide variation in hardware features, software types, and manufacturer preferences between Android smartphones. This resulted in a shorter software assurance, especially for older or less popular smartphone models.


Apple iPhones are made of costly components such as the Gorilla Glass. This is why the overall product costs of iPhones are higher than many of its competitors. Although an Android smartphone has similar or better specifications than an iPhone, the latter is still costlier to built.

As a case study, let us put a spotlight on the iPhone 6 and 6 Plus. iPhone 6 costs about US$200 to US$247 to manufacture. While, an iPhone 6 Plus ranges between US$216 to US$263 to produce. The production costs alone can increase the selling price!

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As of 2019, owning a new iPhone has never been more expensive. It is probably due to the aforementioned elements and more.

Sources: 1,2,& 3

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