Google's Pixel 9 Pro is reportedly cheaper to make than the iPhone 16 Pro
by Sanuj Bhatia · Android PoliceKey Takeaways
- Pixel 9 Pro reportedly costs $406 to manufacture, less than half of its retail price.
- Production costs breakdown: $80 for Tensor G4 chip, $75 for Samsung display, $61 for camera.
- iPhone 16 Pro has a 40% higher manufacturing cost compared to Pixel 9 Pro's components.
Google's Pixel 9 Pro is the latest addition to the Pixel lineup, and while it follows the Pixel 8 Pro in name, it's actually a new model. It's Google's first flagship in a compact form factor, with the Pixel 9 Pro XL serving as the true successor to the Pixel 8 Pro. A new report has now revealed that the Pixel 9 Pro costs just around $400 to manufacture — less than half of its retail price.
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According to the data shared by Nikkei (via 9to5Google), the Pixel 9 Pro's bill of materials (BOM) is just $406, which is 11% less than the Pixel 8 Pro, as noted by X user Jukanlosreve. However, since the Pixel 9 Pro isn't a direct successor to the Pixel 8 Pro — it comes with a smaller screen and battery — this reduction in cost could be attributed to the device's more compact form.
The Pixel 9 Pro's $406 production cost breaks down into three main components. The Tensor G4 chip, which powers the device, accounts for $80, which is slightly more than the previous generation's chip. Samsung's M14 display costs $75, while the camera components total $61. According to the report, Google managed to save on display and camera costs compared to previous models, even though the new chip is more expensive.
It should, however, be noted that the $406 BOM for the Pixel 9 Pro reflects only the cost of its individual components. It doesn't account for additional expenses like shipping, marketing, research and development, or distribution. But, what's interesting here is that the iPhone 16 Pro has a significantly higher BOM at $568 — nearly 40% more than the Pixel 9 Pro's component costs.
iPhone 16 Pro costs nearly 40% more to manufacture than the Pixel 9 Pro
The higher component cost of the iPhone 16 Pro is largely due to its display ($110), camera system ($91), and A18 Pro chipset ($135), each priced higher than their counterparts in the Pixel 9 Pro. These costlier components contribute to the iPhone's overall higher BOM.
It's also worth noting that both the Pixel 9 Pro and iPhone 16 Pro have a retail price of $999. However, Google often offers discounts on the Pixel 9 Pro, such as up to $150 off for Google One members or 30% off for Play Points members. In contrast, Apple rarely provides promotions on the iPhone 16 Pro.
Google Pixel 9 Pro
The Pixel 9 Pro is a compact addition to Google's lineup, offering a smaller form factor while retaining all the AI and camera capabilities of the Pro series. It shares dimensions with the standard Pixel 9 but brings premium features like the Pixel 9 Pro XL, making it a standout in Google's high-end range.