Apple's iPhone X has higher margin than iPhone 8

Posted November 07, 2017

The new iPhone X has been branded as the "most breakable, highest-priced, most expensive to fix iPhone ever" by a smartphone insurance company after performing a series of drop tests on Apple's $999 handset.

The folks over at protection plan company SquareTrade put the smartphone's durability to the test, and well - the results do not warrant the $1,000 price tag.

Side and Back Drop Tests: Remarkably, the side drop did the most internal damage to the phone.

The handset is described as "incredibly solid" after the customary series of torture tests, with premium stainless steel sides and a mostly glass construction that's impervious to daily scratches. When he repeatedly hit the iPhone X with the hammer, its display quickly started to shatter further, suggesting that the iPhone X would still be vulnerable to cracking if dropped on a hard surface. Once I turned off the screen, I noticed an additional hairline fracture running from the bottom left where the second scuff was nearly to the top of the phone. In contrast, the iPhone 8 and 8 Plus racked up "just" 67 and 74 points respectively, and even the Galaxy Note 8 stood at a significantly better 80 total. When the phone was dropped from the same height from the back panel, it caused complete damage to the back glass panel.

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In its own drop test, CNET tossed it 3 feet to the sidewalk, and iPhone X came away with a small crack and a seperate fracture on the back of the device. Although the screen was able to recognize touch through cracks suffered during the test, the "home" swipe command failed, stranding users in the app that happened to be open.

Several of Apple's design choices for the iPhone X pushed up its price. Whether it's the iPhone 4 or the iPhone 5s, there is history in this company with cracked screens and higher fix costs.

In addition, TechInsights costing analyst Al Cowsky told Reuters that "The iPhone X smartphone costs $357.50 to make and sells for $999, giving it a gross margin of 64 percent, according to TechInsights, a firm that tears down technology devices and analyzes the parts inside". Do you buy accidental damage insurance on your smartphones?