In the iPhone 4, more than a dozen integrated circuit chips account for about two-thirds of the cost of producing a single device (according to iSuppli, a market research firm in El Segundo, CA). Samsung receives $27 for flash memory and $10.75 to make its (Apple designed) applications processor. German chip maker, Infineon, gets $14.05 a phone for chips that send and receive phone calls and data. STMicroelectronics get $2.60 for the gyroscope, a new addition to iPhone 4. According to iSuppli, the total bill of materials on a $600 iPhone is $187.51. Manufacturing and assembly contributes the least in terms of cost (about 7% of the overall cost).
Source: Barboza, D. "Supply Chain for iPhone Highlights Costs in China." The New York Times, July 5, 2010.