Apple reportedly spends more on iPhone 8 Plus manufacturing than 7 Plus, profit margins still hefty

Apple's 64GB iPhone 8 Plus predictably costs more to make than an entry-level iPhone 7 Plus, but still less than Samsung's standard Galaxy S8.

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Samsung Galaxy S8 predictably costs more to make than S7 and S7 Edge, way more than iPhone 7

At an estimated $307.50, Samsung's Galaxy S8 bill of materials, manufacturing costs included, exceeds Apple's iPhone 7 expenses by more than $80.

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Weibo: Galaxy S8 will cost more to make, but maintain its price

With all the new features headed into the Galaxy S8, we would expect that Samsung was going to find it difficult to keep costs down for manufacturing. According to tech analyst Bing Yuzhou on the Chinese microblogging site Weibo, we may see the median cost per unit go up thanks to a new feature.

What’s this feature? Two screens? Two cameras? Gold-plated everything? Nope, a 256GB storage disk. The Galaxy S8 may be the first widely available smartphone Samsung has created with such a storage option and it goes up toe-to-toe with Apple’s recent storage bash for its iPhones.

So, what’s the impact of this move among many others we’ve been talking about for the S8? It seems that next year’s spring flagship will rack a bill of manufacture 28 percent more expensive than the Galaxy S7. Estimates have put the current flagship’s cost at around $255, so we’d be talking about a $70 push. And yet, Bing wrote that Samsung will keep device pricing stable (most carriers offered the Galaxy S7 at around $649).

Is Samsung willing to take a bite out of its margins to keep customers fat and happy and away from being burnt by the Note 7 crisis? Is there a completely different motivating factor going on for such a drive? There’s plenty yet to be told in this story. Stay tuned.

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Google Pixel XL bill of materials compares to competitors at $285.75

Raw numbers aren’t everything in the manufacturing industry, but there’s a whole lot you can find in a kernel of estimation. Not of truth, but of estimation — just want to be clear, here.And when it comes to bill of materials, it seems that each 5.5-inch Pixel smartphone costs Google $285.75 to make. That allows the company 63 percent of margin it can pull from a $769 base price at maximum.Analysis from IHS ...

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