Does this BOM price includes huge discounts phone makers have when ordering bulk and from the same company for years?
I suppose when you order milions of Snapdragon chipsets and you are doing this for years,then you dont pay the same retail price as a customer who buys one at the store?
Anonymous, 15 Mar 2016Hey guys there are many things in making a product not just the price of the components is fac... moreXiaomi also have those things yet still sell at low price, so that's just ridiculous to sell at 700-800 dollars and they are still made in China.
Logic Fairy, 15 Mar 2016Samsung spent over $14 BILLION in R&D for last year alone! Which is much more that an enti... moreWith so much money spent on r&d yet i still can't find anything that's ground breaking in the s7 except for the camera, yet they still copy ideas from xiaomi mi note on the Galaxy Note, and don't tell me that the r&d on the camera is worth 14 billion dollars. I guess that money for r&d by Samsung spans across their mobile device and electronic and not mobile alone for if it just for mobile alone then someone in that department obviously doesn't know his job by spending so much money and yet nothing happens except for a good camera. Something isn't just right.
If you're considering yourselves very smart and would like share the produce of that one sorry gyrus in your cerebral cortex please stop and think again! The article states clearly that 255USD is the bill for materials/components. End of story.
Shut up and move on.
Hm... And how much is a display? Also,they don`t pay development for Snapdragon...
Ifixit score 3/10 = Disposable God damn technological crap which will become a paper weight after 3 years (1 year of it will be like a cabled phone as the Li-Ion battery will be crap after 2 years).
I know many iPhone 4 & 4s around which still perform nicely after 3-4 years. But we Samsung users miserably TRYING to use our phones before deciding to throw them away JUST after 2 years. Something is wrong. I know MANY Samsung phones (most of them are Note series) which fail JUST after 2 years. This CAN'T be a conincidence.
I changed battery of my Note2 which started losing charge AGAIN just after 2 years. The new battery also doesn't shine (even it is original from a very good reputation seller).
I am suspicious of a suicide program inside the firmware which consumes battery like crazy after a certain period (messaging in Whatsapp drives all 4 cores at the maximum speed of 1.6Ghz! I have no idea how Google and Samsung optimised the software but this seems too much.
We had S2, S3, S5, Note2, Note3, Note4, Note10.1 and seen more than enough. Enough is enough. No more Shamesung! If I had to throw it away after 2 years, I can live with a cheap Chinese phone as well. We are you Meizu, Xiaomi!
ABADDON, 15 Mar 2016paying more for quality is okey... lolEvery iPhone user since the dawn of time :).... Took you guys a while to realize this simple fact of life.
Hmmm... familiar business model I see... Pity it can't emulate other factors, such as sales numbers :)
nickarad., 15 Mar 2016Another typical idiotic being the Samsung lie. Cost price is not more than 125 euro/dollar pieces.This is a third party entity with no interest in Samsung's opinion as a reviewer. Also the same guys who would throw 3/10 for score on repairability of S7. What makes you think they got their numbers from Samsung by just asking them? Lol
sqrt, 15 Mar 2016They monetize by selling things such as apps, themes and games like a traditional online store... moreAfter a little research they were able to cut costs by removing retails and making good use of free shipping. Their ecosystem alone isn't developed enough to sustain the margin they are selling at.
What are you on a crusade to slay people that say anything about XiaoMi?
Anonymous, 14 Mar 2016I guess it'll be similar too. But Xiaomi takes less profit on the device and they virtually ma... moreHere in France, VAT only worth around 160Â€ on my S7edge. Huge when, as you say, there's still import fee...
Is the price stated for separate components is for open market/retail or for business to business. Is it reliable to say Samsung acquired those parts for the exact price stated.
Hey guys there are many things in making a product not just the price of the components is factory charges ,labour charges r&d etc and many more things like transportation.. Etc
Logic Fairy, 15 Mar 2016Samsung spent over $14 BILLION in R&D for last year alone! Which is much more that an enti... morePeople don't know how to compute the cost of goods. Materials is not the only indicator of the cost.
These are the computation:
Direct materials (main components of the phone)
Direct labor (employees that worked on assembling the phone)
Factory overhead (other manufacturing expenses such as; electricity, water & other factory expenses)
Total Manufacturing cost
Add: work in process inventory - beginning
Less: work in process inv - ending
Add: finished good inv - beg
Less: finished goods inv - end
Cost of goods sold
i think the cost is somewhere around $180. SD820 wouldn't be as much high as $62. my guess , around $25.
Another typical idiotic being the Samsung lie. Cost price is not more than 125 euro/dollar pieces.
Joonius, 14 Mar 2016I'm not sure if you noticed the word "probably" in my comment. To be honest, I don't know how ... moreThey monetize by selling things such as apps, themes and games like a traditional online store to selling ads like google. That's why their phones are sold at cost because the phone is the primary platform to get people into their ecosystem through which they can monetize.
Therefore, an affordable phone allows more people to join their ecosystem and thus the more people they get on board the higher chance of someone buying their services.
You seem to believe the primary or only way money can be made is from margins on selling its phones for whatever reason.