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According to IHS iSuppli, each 16GB of NAND Flash memory in the new 2012 iPad costs just $16.80. Thus, the mid-level iPad???s 32GB costs $33.60 and the top-end model???s 64GB costs $67.20. Given that buyers pay an additional $100 for the 32GB iPad and $200 for the 64GB version, Apple makes a hefty profit on the 32GB and 64GB iPads??? additional storage.

http://www.techrepublic.com/blog/cracking-open/larger-ipads-put-more-money-in-apples-pockets/491
1 Vote
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Not surprised
Gisabun 20th Mar 2012
I said this maybe last week when the new iPad came out. the cost of flash memory is cheap. So why does Apple gouge their customers. Outside of the memory, there is no difference between models.
On top of that, [from a different blog - maybe a different sire] the OS iktself has increased in size with some applications taking up more than double the space of the iPad 2 OS version. It almost makes sense not to get the 16GB version.
I was really disappointed that Apple chose not to increase the base model iPad's storage from 16GB to 32GB. Given the price of the NAND flash modules, they certainly could have.
1 Vote
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Every body knows that Apple over charges their customers. If they want to be cook with Apple's sauce, that's their choice.
-2 Votes
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I know Apple is making more money than Microsoft and anybody else, They have great products, but they also make money out of the app and music stores. Hopefully Apple will copy the model of Amazon and lower their prices and not the Microsoft path which they are trying to change kind of late.
0 Votes
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And everybody else?
WLaddR 22nd Mar 2012
The Sony S, the ASUS Slider and EEE, the Samsung Tab and the Blackberry tablets all cost $100 to go from 16G to 32G. Blackbery is $100 for 32 to 64G. Toshiba tablets are in the $70-80 range for 16->32G upgrade. But they're all just following Apple's lead, right? Still trying to catch up?
No Duh Einstein. And no expansion slot either. Thanks Steve! What's that, you say it's hot? You want some iced water?
1 Vote
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Not surprised
J3 26th Mar 2012
With only a few tweaks and additions here and there I knew that Apple's profit margin would go up nicely as most of the components are the same from the iPad 2. It would be interesting to see this broken down for the iPhone 4s. I'm sure Apple also had a nice profit margin increase with that product.
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