UPDATE - September 27, 2018:

We have revised our initial estimates of the component cost of the iPhone Xs Max from $443.00 to $453.00, based on new information about the 3D touch system. Our initial review of the phone indicated that some of the 3D components that were included in last year’s iPhone X had been removed, but further investigation revealed this not to be the case. We can confirm that the iPhone Xs Max includes the same Broadcom BCM15951 3D touch controller used in the iPhone X.

This increases the Display cost from $80.50 to $90.50, for a total cost of $453.00.

Some of the increases in cost from the iPhone Xs to the iPhone Xs Max are in the areas of baseband, larger OLED display, larger battery, more non-volatile memory, and a significant increase in the cost of non-electronic components.

The iPhone Xs Max has larger, heavier housings than the iPhone X, and the internal frame carries more process costs around spot welds, inserts, etc.

The OLED display in the iPhone Xs Max is larger, increasing its cost, but that increase is tempered by the removal of some of the 3D touch components that were previously found in the iPhone X.

Costing note: All cost estimates provided here are compiled using information available to us at the time of the initial teardown. Some assumptions have been made where concrete data is not yet available. We will continue to gather and refine this costing data throughout our ongoing deep-dive teardown process and analysis. While we do not expect drastic cost changes, we do expect some adjustments.