Interesting article here.....Who's making money from your Smartphone?

When people quote these costs they seldom factor in the bulk part discounts which apparantly can be up to 80%.

I quite doubt those fees paid to Apple are so high these days.
With more phone choice the networks just wont need to make such a loss.

Lost faith in the article when I read "and you're going to have a bigger screen and a more powerful processor to do something with that LTE connection."

Why you need a bigger screen for a faster connection defeats me. And it's arguable that a faster connection means you could actually use a slower CPU because you could rely on doing more processing remotely. Some analysts do talk drivel.