Samsung Galaxy S7 totals 255 Euros in production costs

Samsung Galaxy S7 totals 255 Euros in production costs
Samsung Galaxy S7 totals 255 Euros in production costs
The 700 Euro Galaxy S7 costs less than less than half in production costs and materials with the most expensive component being the Snapdragon 820 SoC.

The Samsung Galaxy S7 and S7 Edge will be available in most regions worldwide by the end of March if not already with Black Onyx, White Pearl, and Gold Platinum color options. Of course, retail prices are quite high at 700 to 800 Euros for each of these flagship devices. After taking apart said smartphones, IHS has estimated that the actual production costs and bill of materials come out to be around 255 Euros for the Galaxy S7.

The final tally corresponds to previous reports from about the Galaxy S5. IHS has disassembled a wide variety of popular smartphones in the past in an attempt to estimate the actual value of each smartphone including the iPhone 5c, iPhone 5s, and Galaxy S4. Perhaps unsurprisingly, the most expensive internal component is almost always the central processor.

The Qualcomm Snapdragon 820 SoC is estimated to cost Samsung about $62 USD for every Galaxy S7 smartphone produced to account for about a quarter of the total production cost of the unit. The SoCs are manufactured in a 14 nm LPP process. The new 12 MP dual-pixel cameras cost about $13.7 USD each while assembly is estimated to be $5 USD. Development, marketing, and distribution costs are disregarded for these estimations from IHS.


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> Notebook / Laptop Reviews and News > News > News Archive > Newsarchive 2016 03 > Samsung Galaxy S7 totals 255 Euros in production costs
Ronald Tiefenthäler/ Allen Ngo, 2016-03-14 (Update: 2016-03-14)
Allen Ngo
Allen Ngo - US Editor in Chief
After graduating with a B.S. in environmental hydrodynamics from the University of California, I studied reactor physics to become licensed by the U.S. NRC to operate nuclear reactors. There's a striking level of appreciation you gain for everyday consumer electronics after working with modern nuclear reactivity systems astonishingly powered by computers from the 80s. When I'm not managing day-to-day activities and US review articles on Notebookcheck, you can catch me following the eSports scene and the latest gaming news.