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Unfortunately that's not how aircraft pricing works, due to very low economy's of scale. A 172 definitely doesn't have 400k in parts in it, yet that's what a fa
by t0mas88 8y ago
Unfortunately that's not how aircraft pricing works, due to very low economy's of scale. A 172 definitely doesn't have 400k in parts in it, yet that's what a fairly simple model costs new out of the factory today.
The costs of certification, development and liability insurance are adding a lot to the price.
- AdrianB1 8y agoI know how it works as I am looking to buy my own 2 seater for some years, I fly rented. I am familiar with the US versus European manufacturer pricing differences and I just paid over $1,000 for a new radio a few months ago, the kind of radio that would be $50 if it would not be "aviation".
- allannienhuis 8y agoPresumably there are some reasons for the higher cost, or someone else would come along and sell the radios for much less and take over the market. I expect in aviation higher reliability requirements would add something to the average costs for many things. People (me included) complain about the same thing when it comes to 'marine' parts - they're often 2 - 3 times higher in price than land-based parts (usually automotive or RV parts). There are actual differences in the items in many cases though - for example, marine engine parts have to ensure they never throw any spark, because explosive fumes in an enclosed engine compartment are a real safety concern that well ventilated automotive engines don't have. That takes extra R & D and different manufacturing processes for much smaller production runs (increasing pro-rated capital costs). Plus, market forces seem to show that people are willing to pay the higher prices - perhaps that's in part because most of the people buying these things have more money than people buying commodity (automotive etc) parts.
- AdrianB1 8y agoYes, there is a reason for the higher cost: price gauging. A pair of 7" displays with Android like software and GPS are ~ $10,000, if you want it in 12" you pay another $5,000. There is no competition in the market. This is why so many people use iPads and $100 software instead.