E-500, how can Oly sell kit at that price?

Started Nov 3, 2005 | Discussions thread
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BJL Veteran Member • Posts: 8,835
Re: sensor is what % of the cost? $2,500-$5,000 for 1Ds?

My semi-educated guess is that at the stated 10% yield, the 1Ds sensor adds about $2,500-$5,000 to the retail price (the fab. cost might be quite a bit less; costs get multiplied alarmingly from manufacturing to retail). And maybe another $500+ for the big low pass filter and IR filter, costs that will probably not decrease by much. Not the whole nearly $6,000 price gap between EOS-1 film and EOS-1 digital bodies; lower volume and such amplify the price gap.

Canon said in the same interview that their smaller DSLR sensors have about 70% yield reflecting far more experience and maturity. They say they have more room for improved yield with their larger sensors. Indeed, the same defect rate per wafer that gives 70% yield at 15x22.5mm (EF-S) would give about 40% for 24x36mm, compared to Canon's best so far of 25% for the 5D sensor. At 40%, maybe they could get to about $1,000 for the sensor, $500 for the filters, so maybe between $2,000 and $2,500 for a 5D level body.

That might give a price gap of about $1,200 compared to a body of similar spec's except for having a Four Thirds sized sensor and low-pass filter, which would have about one quarter or less the sensor/filter costs.

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