https://marco.org/2007/11/05/isnt-it-possible-that-the-iphone-is-in-fact-a
Isn’t it possible that the iPhone is, in fact, a subsidized device? What if it costs close to or more than $399 to produce, and it’s in the monthly revenue sharing from the carriers that Apple makes its profit? For one thing, it would explain why Apple seems so determined to foil unlockers, including their decision to no longer accept cash and limit you to two iPhones per purchase.