El Segundo, Calif. - The hefty $499/$599 price tags for Apple's forthcoming iPhone are primed to come down, as the cost for Apple to manufacture the devices has been estimated at $245.83 and $280.83, respectively, according to market research firm iSuppli.

"With a 50 percent gross margin, Apple is setting itself up for aggressive price declines going forward," Jagdish Rebello, a director and principal analyst with iSuppli, told the Associated Press.

Apple has said that it aims to sell 10 million iPhones in 2008. The iPhone is slated for release in July 2007, with a 4GB version priced at $499 and 8GB model selling for $599.

Related Links:
http://tinyurl.com/ywlzjl (AP)
http://tinyurl.com/29ch8w (CNET)
http://www.isuppli.com