Why is Mac mini repair costs more than replacement?

Also, if the computer is only 5 months old as you mention it would be covered by the 1 year warranty. If it is older than 1 year and you did not purchase AppleCare then the cost of repair can be expensive, this is why buying AppleCare is wise!

Classiccharm wrote:

I was told that it would have to be repaired so I left it with them after arguing my case that it’s only 5 months old and they are basically replacing every part inside it and wouldn’t it be better just to replace the whole thing instead.

If it's truly only 5 months old then it's still covered by Apple's 1-year warranty and there should be no repair cost, at least not from Apple.

The decision to repair vs. replace is at Apple's discretion and it depends on what they think needs to be fixed or replaced. They may need or want to do further diagnostics, that being the reason for having you leave the mini with them instead of just giving you a replacement.

Legal - UK Ireland Universal Warranty - Apple

to make 1 piece of electronic is very costly

when the asm lines get up in speed the cost lowers a lot, these asm lines are often places in countries with low cost

if a person in a first country has to repair a device their salary would likely be higher, and the replacement components would be purchased in much lower numbers and as such also come at a higher cost.

it's not really an apple or computer thing but a general thing these days

It's the same with cars. To replace a part costing pennies can sometimes cost hundreds of pounds.

Also Apple may say the repair costs £611 but do you believe them?

If a £25 power unit is replaced in an old iMac Apple charge around £50 . . . . it's cheaper to buy a new computer!

The repair cost is what you would pay to fix. For the Apple store to do it, it is actually much less. Just like cars or anything else for that matter, the price for the part being replaced is a "retail" price that is marked up from what the dealer actually pays. The same applies to the labor to the part being replaced which is more than what the people doing the work are actually paid.

Bottom line you were lobbying for a new replacement instead of repair. You were expecting to hand them the broken Mini and leave with a brand new unit. That’s not how it works. Your warranty covers “repair or replacement” and it’s up to Apple to decide which route to take. You have nothing to say about the matter.

That price of course was meant to be £500 not £50.