The Cost Exposure of Apple and Microsoft & Amazon and Google by Profit Margins Analysis

Lately, the foreign media revealed the comparison of hardware costs of top tablets, including the new iPad, iPad Mini, Nexus 7, Kindle Fire HD, based on the prices of disassemble parts, the cost of marketing, sales and operating system not involved.

Microsoft Surface RT, 32GB of memory, costs of about $ 267, priced at $ 499, the profit margin of about 46%.

The New iPad, 16GB of memory, costs of about $ 316, priced at $ 499, the profit margin of about 37%.

The iPad Mini, 16GB of memory, costs of about $ 198, priced at $ 329, the profit margin of about 40%.

7-inch KindleFire HD from Amazon, 16GB of memory, costs of about $ 174, priced at $ 199, the profit margin of about 13%.


Google Nexus 7, 16GB of memory, costs of about $ 159, priced at $ 199, the profit margin of about 20%.


The above analysis showed that highest profit margin of Microsoft, followed by Apple, then Google and Amazon. Amazon has a powerful content terminal, not pursuing competing hardware, the same as shopping cart positioning. But Google is the lowest cost, reasonable price but fine quality, popular with most of people.