Commodus
Diamond Member
- Oct 9, 2004
- 9,215
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Posting this Galaxy S7 bill of materials not so much for debate as for reference:
IHS estimates that the standard S7 costs just $255 to make. (For reference: the best US price that I've seen for an S7 is $650.)
This is a friendly reminder that the raw parts costs for any phone are only part of why it's priced the way it is. It's always fun to see people screaming about how some companies are supposedly charging 100-200 percent profit margins while forgetting that these companies also have to account for things like patent licensing and shipping. The boring truth: they may be getting more profit than you'd like, but it's definitely not as bad as some would have you think.
IHS estimates that the standard S7 costs just $255 to make. (For reference: the best US price that I've seen for an S7 is $650.)
This is a friendly reminder that the raw parts costs for any phone are only part of why it's priced the way it is. It's always fun to see people screaming about how some companies are supposedly charging 100-200 percent profit margins while forgetting that these companies also have to account for things like patent licensing and shipping. The boring truth: they may be getting more profit than you'd like, but it's definitely not as bad as some would have you think.