Tech

How much does it cost to build a Samsung Galaxy S8?

By TechNadu Staff / April 27, 2017

The latest release of Samsung Company's smartphones Galaxy S8 cost Rs. 57, 900 ($720 in the US). The products at a higher price than the cost price to obtain profit, which can be the overall development of the company.

The total amount varies based on taxes, marketing cost and a profit of the company targets. According to the report on IHS Markit, the rise in the material cost of the new smartphones Galaxy S8 compared to its predecessor, the S7 shows that the company is serious about staying ahead of its main competitor Apple.

The cost of $301.60 (Rs.19,500 approx.) in materials and $5.90 in basic manufacturing costs, the total cost os the Samsung Galaxy S8 will be $307.50 (Rs.19,900 approx.). It is worthy that the total cost is $43.34 higher than the total cost of last year's Galaxy S7, the research done by IHS Markit.

The Korean company is charging an extra sum of $421 (Rs. 26,700 approx.).

Andrew Rassweilar, senior director of cost benchmarking services for IHS Markit said " The higher total BOM [bill of materials] costs for the Galaxy S8 seem to be part of a trend that reflects something of an arms race in features among Apple, Samsung and other phone manufacturers, as they all try to add new and distinguishing hardware features".

The new upcoming iPhone is expected to feature a similar edge-to-edge OLED display. In fact, Apple is getting its panels for the device from Samsung and they ordered 70 million OLED display panels from Samsung. OLED display becoming a new feature in handsets because it provides a brighter display as well as better power efficiency.



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