iPad Accessories Likely to Drop in Price

Consumers should soon see at least a slight reduction in the price of most electronic and audio accessories (basically any accessory that needs to be plugged into the iPad, including headphones and game controllers), due to Apple reducing the licensing fees charged to third party accessory manufacturers.

Apple lowers MFi fee, could result in cheaper iPad/iPhone accessories

In order for a third party manufacturer to successfully develop and market an iPad (or iPhone or iPod) accessory, paying Apple's MFi (made for iPhone/iPad/iPod) fee is part of doing business. By doing so, they are granted access to hardware components, technical support, documentation et cetera that are

crucial for the development of any accessory. In addition to this, they are granted permission to put the all important MFi sticker on their accessories, without which many consumers wouldn't even consider the product.

By how much Apple reduced their fee isn't yet known, but if the manufacturers are paying less per unit, that savings can be expected to at least partially trickle down to the end consumer. According to Apple Insider, in 2005 the fee was believed to be the lower of 10% the price of the accessory or $10 per device. Since then, Apple reportedly reduced the fee to between 1.8% and 8% of the total cost of the accessory, before finally settling on a flat $4 fee per connector (with "Pass Through" connectors counting as two).

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