Looking out for a top-tier Android cellphone? Nicely, you may be trying to spend no less than $1,199. And when you want to get a greater configuration, it is going to price you a whopping $1619. These are the present pricing data for the Galaxy S23 Extremely, thought-about some of the costly Android smartphones available in the market.

However are you aware how a lot it prices for Samsung to fabricate the Galaxy S23 Extremely? Nicely, it’s not even close to the $1000 mark. Actually, the manufacturing price will not be even near $500!

Galaxy S23 Extremely Prices $469 to Manufacture

Counterpoint Analysis delved deeper into the invoice of supplies (BoM) of the Galaxy S23 Extremely. Primarily based on the knowledge shared by Counterpoint Analysis, the invoice of supplies involves a quite underwhelming worth of $469. That’s 154% lower than the retail worth of the beginning mannequin.

Now, although the manufacturing price is significantly much less, $469 BoM is so much. And that may make you surprise how a lot of a share is every of the elements of Galaxy S23 Extremely getting. Nicely, based mostly on the invoice of fabric, the processing and mobile totals as much as $35 of your complete price. Each of those elements are offered by Qualcomm.

The digital camera and show, however, whole as much as 32%. These two elements are primarily from Samsung. The casing takes 8%, whereas the reminiscence takes 11% of the overall manufacturing price. And others elements of the Galaxy S23 Extremely have a 15% share of the overall manufacturing price.

Questioning what these different elements are? These different elements embrace PCB, MLCC, waterproofing, vibration motor, and different cellphone options. Nevertheless, Counterpoint Analysis didn’t present express information on the price of assembling, testing, software program, and different associated prices of the Galaxy S23 Extremely.

Fascinated with studying in regards to the credibility of this information? Nicely, Counterpoint Analysis is understood for trying deeper into the business. To be actual, it is likely one of the trusted world know-how market analysis corporations within the TMT business. So, its detailed evaluation of report is usually not taken with a grain of salt.

Why Is the Promoting Value 154% Greater?

So, the overall invoice of supplies for the Galaxy S23 Extremely involves $469. And when you take into account the bottom model of the machine, that’s $730 lower than the retail worth. This could make you surprise the place is that this $730 going. Is Samsung placing this sum of money instantly into its pockets?

Not likely! As talked about earlier, the invoice of supplies shared by Counterpoint Analysis doesn’t embrace different facets of the cellphone. It simply goes by means of the pricing of the elements which can be contained in the Galaxy S23 Extremely. That leaves us with software program, meeting, testing, IP&R, and different associated prices.

Though we shouldn’t have concrete information concerning it, the overall price for Galaxy S23 Extremely with these elements thought-about is definitely larger than $469. And Samsung is unquestionably not making 154% revenue by promoting the machine. As a substitute, I’m speculating it to be significantly lower than 100%.

For that motive, this invoice of fabric of the Galaxy S23 Extremely ought to make you assume that the cellphone is affordable to make. As a substitute, take into account the info as an perception into how a lot it will take to useful resource the supplies and prepared up the facets of the cellphone.

Speaking of which, it’s fairly fascinating to see Samsung giving out the very best share of price to Qualcomm. Possibly that’s the rationale why it desires to shift to Exynos 2400 for the Galaxy S24 collection in sure areas. However nonetheless, that data is but to be confirmed.

So, Samsung would possibly nonetheless spend essentially the most on getting issues from Qualcomm for the Galaxy S24 lineup sooner or later. We are going to replace you if we be taught extra about this matter.