Thanks to IHS Markit now we know that how much it costs to manufacture Samsung’s new top-of-the-range smartphone, the Galaxy S8 (SM-G950N). The Samsung Galaxy S8 costs more than its predecessor, perhaps to compensate for the losses generated by the Galaxy Note7. According to the source, the Galaxy S8 has a manufacturing cost of $307.50, that’s $ 43.34 more than the Galaxy S7 and $ 36.29 more than Galaxy S7 Edge.
Samsung Galaxy S8 has a manufacturing cost of $307.50
Thanks to the report, we can find out which components carry the most expense, gaining, by far, the 5.77-inch AMOLED screen, which costs $ 85. The second most expensive component is the chipset (SoC Exynos) with $ 45, followed by RAM and storage that add up to $ 41.50, the PCB, connectors, passive components, etc cost $ 35, and $ 20.50 for the main and rear camera. One of the most economical components is the battery, costing $ 4.50. On the other hand, the AKG headphones that accompany the terminal.
The distinction between the production cost and the retail cost of the Samsung Galaxy S8 — $720 — is precisely $412.5. Notwithstanding, this isn’t the measure of cash Samsung makes each time it offers a unit of its flagship device. We additionally need to consider the transportation and advertising costs and different import charges in various countries. Furthermore, retailers and transporters take their cut of each deal. There’s additionally the cost of innovative work – Samsung has one of the most elevated R&D spending plans in the business – $13 billion in 2016 alone. At long last, a large administrative overhead (salaries of administrators and directors) must be considered.