Samsung’s Galaxy S6 Edge costs a lot to make (but the markup is still significant)

So often in life, you get what you pay for, and that’s no less true with smartphones. Sure, you can find some fantastic deals on powerful yet affordable handsets, but if you want all those top-of-the-line specs and premium styling, expect to pay for the privilege. Right now, one of the most expensive phones around is the Samsung Galaxy S6 Edge, with its 128GB version pushing $1000. Is that cost justified? A breakdown of component costs offers some degree of rationalization for that sky-high price tag, suggesting the GS6 Edge really is one of the most expensive phones to build.

From an $85 screen assembly, to a $30 Exynos SoC, to another nearly $30 for RAM, the Galaxy S6 Edge has some pricy (by smartphone standards) components. All together, they add up to some hardware that costs about $290 to bring together (this is for the 64GB edition – more storage will push that price even higher).

On top of that nearly $300 BOM, Samsung has to factor in licensing, development costs, and software, not to mention what it’s spending on promotion. But even considering all those expenses, the company still looks like it’s turning a hefty profit on GS6 Edge sales.

So does the GS6 Edge need to cost nearly as much as it does? Certainly not, but at least it looks like you’re getting quite a bit for your smartphone-buying dollar.

Source: Re/code

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About The Author
Stephen Schenck
Stephen has been writing about electronics since 2008, which only serves to frustrate him that he waited so long to combine his love of gadgets and his degree in writing. In his spare time, he collects console and arcade game hardware, is a motorcycle enthusiast, and enjoys trapping blue crabs. Stephen's first mobile device was a 624 MHz Dell Axim X30, which he's convinced is still a viable platform. Stephen longs for a market where phones are sold independently of service, and bandwidth is cheap and plentiful; he's not holding his breath. In the meantime, he devours smartphone news and tries to sort out the juicy bits Read more about Stephen Schenck!