Profit So if the materials cost roughly $188, and Dediu has calculated that an additional $93 is spent on manufacturing its smartphone, (a cost that includes the labor costs, transportation, storage and warranty expenses) we reach a total of about $281 to manufacture an iPhone that retails at $649.Phone 4s The current model of iPhone-the 4s-will set you back at least $649 if you purchase the 8GB version outright. The 16GB model will cost you $649 and the price goes up to $749 when you purchase the 32GB model. The 64GB model will set you back a staggering $849.