Inside the Latest iPhone

Apple packed a lot of features into the latest version of the iPhone but managed to keep a tight lid on the cost of components that go into it. Manufacturing and components for the 8-gigabyte iPhone 3G set Apple back about $173 per unit, according to an estimate by Silicon Valley-based research firm iSuppli, due to be released June 24. Comparable expenses for the earlier iteration of the iPhone were about $226, iSuppli says. Analysts scour component-price estimates to gauge profit margins on Apple’s best-selling products.