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Blackberry Storm costs more than iPhone to make

January 30, 2009 by James Oliver

The nicest thing you can say about the Blackberry Storm is that its reception has been mixed. The phone has experienced continual difficulties after being rushed to market last year, these have included a raft of complaints from users about sluggish performance, poor reception and many other shortcomings.

The phone, produced by manufacturer RIM (Research in Motion), was supposed to be a competitor to the iPhone. However, in this respect it has spectacularly failed, even after an unprecedentedly expensive (for RIM, anyway) publicity campaign, the vast majority of consumers still prefer the iPhone in every area.

A new nail in the coffin has emerged for the Blackberry Storm today, as if it needed it. The market research firm, iSuppli, after taking the Storm apart, has discovered that the Blackberry Storm costs considerably more to manufacture than the iPhone.

The components in the Storm cost about $203 dollars altogether, whilst the iPhone costs about $174 dollars to build. A difference of $29 dollars may not seem a lot but consider what that price differential translates to after millions of phones are sold.

This must be a sobering moment for RIM – they have officially spent more money than Apple building a phone that has no hope of competing with it.

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