Mobile Devices

iHome iP1 Audio System for iPhone and iPod Teardown

29 June 2010
The following is an overview of a teardown analysis conducted by IHS Benchmarking.

Overview / Main Features

The iHome iP1 is a high-end iPhone/iPod docking speaker home audio system that features the Bongiovi Acoustics Digital Power Station with a dedicated button. The minimalist design of the iP1 ultilizes a floating speakers on glass that focuses attention to the size and scale of the integrated speakers (relative to the iPhone/iPod). The audio system is capable of producing 100 watts of power as well as 3.5mm auxiliary input and component/composite video output.

iHome iP1 Audio System for iPhone and iPod Main ImageiHome iP1 Audio System for iPhone and iPod Main Image
Target Market

General Consumers



iHome iP1 Audio System for iPhone and iPod - Main PCB TopiHome iP1 Audio System for iPhone and iPod - Main PCB Top
Pricing and Availability

Pricing - Retail price for the iHome iP1 is $299

Availability - Assumed Global

Volume Estimations

For the purposes of this teardown analysis, we have assumed a lifetime production volume of 170,000 units.

As a reminder, teardown volume production assumptions are primarily used for our cost analysis in terms of amortized NRE and tooling costs, especially for custom components specific to the model being analyzed (mechanical components especially). Unless assumed volumes are different by an order of magnitude, minor changes in volume (say 1 million vs. 2) rarely have a large net effect on our final analysis because of this.

Cost Notes

Main Cost Drivers Representing ~65% of total materials cost

Kingwall Electronics - AS101-240-AB417 - AC Adapter - 24.0V, 4.17A, w/ 5ft Cord

Enclosure, Main, Front - Machined Acrylic, Printed

Enclosure, Main, Rear - Injection Molded Plastic, Printed

Loudspeaker, Woofer - 4', 4Ohm, 30W, Fiber Cone, Rubber Surround, Stamped Steel Basket, Bullet Dust Cap, Bucking Magnet, w/ Integral Wire Harness (Qty:2)

Remote Control Unit

Avnera Corporation - AV8114 - Microcontroller/System-on-Chip - Audio Processor, w/ Class-D H-Bridge Drivers

Box - Cardboard, Full Color, Printed, Recyclable, w/ Black Plastic Handle, 18.4' x 10.4' x 9.8'

Loudspeaker, Tweeter - 1', 6Ohm, 10W, Cloth Dome, Shielded, w/ Integral Wire Harness (Qty:2)

Speaker Grille, Woofer - Stamped / Formed Metal (Qty:2)

Million Sources Co Ltd HK - 2-Layer - FR4

Woofer Mounting Bracket - Injection Molded Plastic, Clear Coated (Qty:2)

Total BOM Cost $66.36

iHome iP1 Audio System for iPhone and iPod Cost AnalysisiHome iP1 Audio System for iPhone and iPod Cost Analysis

What Is Not Included in our Cost Analysis

The total materials and manufacturing costs reported in this analysis reflect ONLY the direct materials cost (from component vendors and assorted EMS providers), AND manufacturing with basic test. Not included in this analysis are costs above and beyond the material manufacture of the core device itself - cost of intellectual property, royalties and licensing fees (those not already included into the per component price), software, software loading and test, shipping, logistics marketing and other channel costs including not only EMS provider and the OEM's margin, but that of other resellers. Our cost analysis is meant to focus on those costs incurred in the manufacture of the core device and exceptionally in some circumstances the packaging and literature as well.

Manufacturing Notes

Country of Origin / Volume Assumptions

Based on markings, the unit was assembled in China. Furthermore, we have assumed that custom mechanicals (plastics, metals, etc.) were also sourced in China.

Country of origin assumptions relate directly to the associated cost of manufacturing, where calculated by iSuppli. In the cases of 'finished' sub-assemblies (such as microcontrollers), we do not calculate internal manufacturing costs, but rather assess the market price of the finished product in which case country of origin assumptions may or may not have a direct effect on pricing.

Remember also that labor rates are applied directly only to hand inserted components and systems in our bill of materials, and although regional assumptions do, these new rates do not have a direct effect on our modeled calculations of placement costs for automated SMD assembly lines. "Auto inserted components (such as SMT components) placement costs are calculated by an iSuppli algorithm which allocates a cost per component based on the size and pincount of the device. This calculation is affected by country or region of origin as well.

iHome iP1 Audio System for iPhone and iPod - Enclosure Main Bottom RemovediHome iP1 Audio System for iPhone and iPod - Enclosure Main Bottom Removed

Design for Manufacturing / Device Complexity

The iHome iP1 has an overall component count of 646 (excluding box contents), of which 143 are mechanical in nature.

Component counts have a direct bearing on the overall manufacturing cycle times and costs, and also can increase or decrease overall yields and re-work. Our calculations of manufacturing costs factor counts and more qualitative complexities in the design. The cost of manufacturing is also, to some extent, decreased in this case because of assumed labor rate applied for China.

Note that manual labor has a much smaller effect on auto-insertion assembly lines (for the Main PCB, for example), where manufacturing costs are much more capital equipment intensive and driven by these investment costs.

iHome iP1 Audio System for iPhone and iPod - Box ContentsiHome iP1 Audio System for iPhone and iPod - Box Contents

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