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Google Glass cost per unit might be a little more than $80


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Guest Robert Nazarian
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A teardown from a couple of weeks ago indicated that the cost of Google Glass is significantly lower than the $1,500 price tag. When I say significant, I mean significant. The teardown suggested that it only costs Google $80 for each Explored Edition. Google denied the report, but unsurprisingly, never coughed up a better figure.

 

 

Now a new a teardown from market research firm IHS gives us another estimate. According to them, Google is right, but the new cost is still significantly (there’s that word again) lower than Google’s asking price. According to IHS, each Google Glass costs Google $132,47 in terms of actual components. Add in an additional $20 for assembly and the total comes fo $152.47.

 

IHS says that the processor and other parts are from 2012, and the most expensive part is the titanium frame that wraps around the head, which comes to $22. The display comes in at $20, and the OMAP4 chip comes in at $8.85.

 

Now one has to wonder if both teardowns take into consideration that this isn’t a mass produced item. It is estimated that only 50,000 units have been made, so do these costs reflect that? Google had to pay a lot of upfront tooling costs that winds up being higher per unit when production quantities are low. Now I am not taking Google’s side here. There is no question Glass is overpriced, and it’s one of the reasons I don’t own one. The question is how overpriced are they?

 

source: re/code

 

 

Come comment on this article: Google Glass cost per unit might be a little more than $80

 

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