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HP Touchpad Bill Of Material Amounts To $318

A teardown analysis of HP's iPad 2 rival, the TouchPad, shows that the tablet carries a bill of material of $318 based on preliminary results from IHS iSuppli's Teardown Analysis Service.

Most of the cost of manufacturing is borne by the display/touchscreen which accounts for well over a third of the total BoM of the tablet at $130.50, with the display - from LG - accounting for roughly half the amount and the touch screen mechanism accounting for the other half.

The teardown also revealed that the 1GB system memory from Samsung, cost $26 while the 16GB NAND flash memory added $23 to the initial cost (going up to 32GB adds another $22) and the processor, the Qualcomm Snapdragon APQ8060, another $20.

Interestingly, the Touchpad uses Wi-Fi components from Qualcomm/Atheros and could easily swap integrated baseband chips when HP decides to add 3G/4G to the tablet.

In total, when the cost of manufacturing is included, the 16GB version fetches $306.15 while the 32GB one reaches $328.15, leaving HP with a growth margin of 63 per cent and 52 per cent respectively.

HP apparently deliberately made the Touchpad thicker than the iPad, a move that provided it with more design options and more leeway, which iSuppli added meant simplifying the design process altogether.

Désiré has been musing and writing about technology during a career spanning four decades. He dabbled in website building and web hosting when DHTML and frames were en vogue and started writing about the impact of technology on society just before the start of the Y2K hysteria at the turn of the last millennium. Following an eight-year stint at ITProPortal.com where he discovered the joys of global tech-fests, Désiré now heads up TechRadar Pro. Previously he was a freelance technology journalist at Incisive Media, Breakthrough Publishing and Vnunet, and Business Magazine. He also launched and hosted the first Tech Radio Show on Radio Plus.