canibalimao
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Production cost of the Raspberry Pi

Tue May 14, 2013 1:31 pm

Hi guys,

I'm doing a school project based on the raspberry pi. We should choose an innovator product and, since I'm on a engineering course I thought this could be a great product to analyse.

The problem is that I need to know the production cost to talk about profits and how do the fundation gets founds to keep alive and I can't find that information.

Is there any staff member who can give me this info?

jamesh
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 1:34 pm

No, I'm afraid that information is not publicly available (it's commercially sensitive stuff). Sorry.
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canibalimao
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 1:58 pm

Thank you jamesh.

That part will be missing on the work :(

Rene_is_I
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:32 pm

I believe that jamesh's response is not entirely correct.
UK law states that the accounts of charitable organizations within England and Wales are public, with some exceptions.

To quote the Charity Commission:
One of the ways public trust and confidence in charity is maintained is by the fact that charities are transparent and accountable. All charities must, by law, maintain accounting records and prepare publicly accessible reports of their accounts.
See here:

http://www.charity-commission.gov.uk/Sh ... ryNumber=0
Keep in mind that the above numbers are before the Pi.

http://www.charity-commission.gov.uk/Ch ... _accounts/

http://www.charity-commission.gov.uk/Ab ... cords.aspx

http://www.charity-commission.gov.uk/

jamesh
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:38 pm

I was talking specifically about the production costs of the Raspi itself (as per thread title) - not the running costs of the Foundation as a whole, which as you say will be available from the charity commission.

The pre-Pi figures there are somewhat out of date....!
Principal Software Engineer at Raspberry Pi (Trading) Ltd.
Contrary to popular belief, humorous signatures are allowed.
I've been saying "Mucho" to my Spanish friend a lot more lately. It means a lot to him.

Rene_is_I
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Joined: Tue Dec 25, 2012 12:52 pm

Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:46 pm

@jamesh

Yes but the fact that the Foundation spends money in procuring components and/or getting the Pi manufactured and then sells it at a profit will/should be indicated in the accounts, i.e. expenditure versus income.
After all the money required for the day to day running of the Foundation has to come from somewhere and that somewhere will be recorded, perhaps not specifically stating from the Pi, but will/should be shown.
The point I was trying to make is that although an exact cost of manufacturing each Pi will be difficult to obtain, but by looking at records pre and post Pi and knowing aprox. how many Pis have been made up to the date corresponding to the accounts, a good guestimate could be arrived at.
Last edited by Rene_is_I on Tue May 14, 2013 3:50 pm, edited 1 time in total.

pygmy_giant
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:48 pm

You might have to tilt your monitor on its side to read the bar graph when the next lot of accounts are published.

Rene_is_I
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:51 pm

pygmy_giant wrote:You might have to tilt your monitor on its side to read the bar graph when the next lot of accounts are published.
And have to use a widescreen monitor. :D

jamesh
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:52 pm

Rene_is_I wrote:@jamesh

Yes but the fact that the Foundation spends money in procuring components and/or getting the Pi manufactured and then sells it at a profit will/should be indicated in the accounts, i.e. expenditure versus income.
After all the money required for the day to day running of the Foundation has to come from somewhere and that somewhere will be recorded, perhaps not specifically stating from the Pi, but will/should be shown.
The point I was trying to make is that although an exact cost of manufacturing each Pi will be difficult to obtain, but by looking at records pre and post Pi and knowing aprox. how many Pis have been made up to the date corresponding to the accounts, a good guestimate could be arrived at.
Actually the Foundation doesn't procure components - that all done by the manufacturers who build under licence. The Foundation gets paid a royalty, which of course will appear in the accounts. But that doesn't help with the actual cost of making the device since you won't know the profit being made by the manufacturers. As I don't!
Principal Software Engineer at Raspberry Pi (Trading) Ltd.
Contrary to popular belief, humorous signatures are allowed.
I've been saying "Mucho" to my Spanish friend a lot more lately. It means a lot to him.

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symonmj
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:55 pm

It's my understanding that the foundation does not produce the Pi's at all. I believe they license Farnell / RS etc to produce and distribute the boards.

Happy to be corrected if I've got that wrong.

MS

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rpdom
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 3:59 pm

Rene_is_I wrote:@jamesh

Yes but the fact that the Foundation spends money in procuring components and/or getting the Pi manufactured and then sells it at a profit will/should be indicated in the accounts, i.e. expenditure versus income.
After all the money required for the day to day running of the Foundation has to come from somewhere and that somewhere will be recorded, perhaps not specifically stating from the Pi, but will/should be shown.
The point I was trying to make is that although an exact cost of manufacturing each Pi will be difficult to obtain, but by looking at records pre and post Pi and knowing aprox. how many Pis have been made up to the date corresponding to the accounts, a good guestimate could be arrived at.
As the Foundation do not procure components or manufacture the production Pi themselves, I doubt their accounts will be of much use to you. They designed the Pi and allowed RS and Farnell licences to produce and sell them with a low profit margin. Some of the profit goes back to the Foundation to cover their development costs and running expenses. (As I understand it)

Rene_is_I
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 4:10 pm

Then I stand corrected and an apology to jamesh is in order.
It will still be interesting to see the new accounts reflecting the royalty payments.
I'm hoping the figure will be huge as the Foundation deserves it.

jamesh
Raspberry Pi Engineer & Forum Moderator
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Re: Production cost of the Raspberry Pi

Tue May 14, 2013 4:35 pm

Rene_is_I wrote:Then I stand corrected and an apology to jamesh is in order.
It will still be interesting to see the new accounts reflecting the royalty payments.
I'm hoping the figure will be huge as the Foundation deserves it.
No worries!

I'd be interested to see the figures as well! Should be out soon I expect.
Principal Software Engineer at Raspberry Pi (Trading) Ltd.
Contrary to popular belief, humorous signatures are allowed.
I've been saying "Mucho" to my Spanish friend a lot more lately. It means a lot to him.

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