Here’s how much it costs Samsung to make the S21 series
Recognition: Eric Zeman / Android Authority
- The Samsung Galaxy S21 Ultra is estimated to cost an estimated $ 533 to produce.
- The 256GB Galaxy S21 is believed to cost $ 414 to make.
- Both numbers represent a decrease from last year’s estimates for the S20 series.
The Samsung Galaxy S21 series is $ 200 cheaper than last year’s S20 family across the board, and it looks like that approach has paid off for the Korean company. But how much do these phones cost?
Well, counterpoint research (h / t: PhoneArena) released an analysis of the phones bill of materials (BoM) which estimated that a 128GB Galaxy S21 Ultra (Snapdragon 888, mmWave) would cost $ 533 to manufacture for $ 1,199. The research company added that this parts list is actually 7% cheaper than the S20 Ultra.
The company reports that memory, the move to a processor with a built-in modem, a reduction in the number of mmWave antenna modules, and dropped box contents (charger, headphones) are the main areas for cost savings in the Samsung Ultra model. The connectivity cost was a bit higher, however, as the new phone added support for UWB and the S-Pen.
Of course, it’s worth noting that a $ 533 BoM doesn’t mean Samsung will make $ 666 for every 128GB S21 Ultra sold. Companies also spend a lot of money on research, marketing, and other costs that aren’t included in component costs. Also of interest is the chart from the tracking company (see below), which shows that the S21 Ultra with Exynos drive is cheaper, presumably due to the lack of mmWave components and the internal chipset.
The Galaxy S21 and S21 Plus were able to achieve further cost savings of around 12% and 13% respectively compared to their predecessors. Specifically, Counterpoint found that a 256GB Galaxy S21 (Exynos 2100) had a BoM cost of ~ $ 414.
The research company attributed these savings to hardware changes such as the removal of a 3D ToF camera (on the Plus model) and a lower screen resolution. The Plus version also comes with less RAM than its predecessor, while both devices come without a charger or headphones.
We asked Counterpoint for more details on BoM estimates for the 128GB Galaxy S21 and will update the article when they get back to us. Either way, Samsung’s decision to cut prices seems to be helping to move a ton of Galaxy S21-series phones.
