The analysis of iSuppli points it out that the material costs for T-Mobile G1, made by HTC, running Google's Android OS, is about $144, while the 8 GB iPhone 3G has material costs of about $160. The two handsets have lots of similar features, including the large touchscreen, a camera, music playback, internet access, but while Apple offers much more memory, G1 has a full QWERTY keyboard. Tina Teng, analyst for iSuppli, says that although the comfort of G1's user interface is much above average, it's still not as attractive like iPhone or other rival products. American AT&T currently offer the Apple phone for $199, while T-Mobile launched the Google Android phone for $179. It's important to note that the costs we have mentioned don't include software development, transport and accessories, which are also quite a lot. The launch of Apple iPhone 3G made it clear that the manufacturer doesn't want to introduce advanced and expensive new functions, they instead reduce production costs in order to conquer new markets. According to the iSuppli analysis the production costs of an iPhone model is about $5.85 USD.
Translated by Szaszati
