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The Samsung Galaxy Note 20 Ultra 5G has a Bill of Materials cost of US$548.90 or 42% of the US$1,299.99 price tag

The Samsung Galaxy Note 20 Ultra 5G comes in 128 GB and 512 GB storage configurations. (Image source: Samsung)
The Samsung Galaxy Note 20 Ultra 5G comes in 128 GB and 512 GB storage configurations. (Image source: Samsung)
The Bill of Materials (BoM) for the Samsung Galaxy Note 20 Ultra 5G (128 GB variant) has been estimated at a total of US$548.90. As the flagship device currently has an official retail price of US$1,299.99, then this BoM cost is equivalent to 42.22% of the Galaxy Note 20 Ultra 5G’s price tag. The display and the communication components are the priciest parts.
Daniel R Deakin,

A report from Counterpoint Research has thrown up some fascinating details about the costs involved in creating a high-end flagship smartphone like the Samsung Galaxy Note 20 Ultra 5G device. The components for the Galaxy Note 20 Ultra apparently have a total cost of US$468, and that sum gets bumped up by things such as testing and assembly, packaging, accessories, and the S Pen, to US$548.90. As the impressive smartphone is currently priced at US$1,299.99 then the Bill of Materials represents 42% of the final price.

Of course, some might be dismayed by the seemingly huge amount Samsung adds to the BoM to arrive at the chosen price point for the 128 GB configuration of the Galaxy Note 20 Ultra 5G. After all, that almost 58% difference equates to US$751.09 in monetary terms. But that is not pure profit for Samsung, as you also have to factor in costs that are accrued through the research and development phase, marketing, taxes, various licenses, employee salaries, etc. In fact, Counterpoint actually praises Samsung for being able to stuff US$468’s worth of components inside the Galaxy Note 20 Ultra.

Another way of comparing the cost and percentage difference between BoM and retail price is to look at those offered up by other Samsung devices: The Galaxy S20 Ultra has a lower difference of 38% while the Galaxy S10+ had a BoM that was also 42% of the MSRP. Interestingly, the communication equipment and the AMOLED were the most expensive parts, while the vital Snapdragon 865+ processor came out at just US$57. Counterpoint also produced a chart showing which companies took the most BoM share for the Galaxy Note 20 Ultra, and Samsung efficiently took 50% while Qualcomm snatched up 39.3%.

Sale off - Buy Galaxy Note 20 Ultra now on Amazon

BoM for the Galaxy Note 20 Ultra 5G. (Image source: Counterpoint)
BoM for the Galaxy Note 20 Ultra 5G. (Image source: Counterpoint)
BoM share for the Galaxy Note 20 Ultra 5G. (Image source: Counterpoint)
BoM share for the Galaxy Note 20 Ultra 5G. (Image source: Counterpoint)
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> Notebook / Laptop Reviews and News > News > News Archive > Newsarchive 2020 09 > The Samsung Galaxy Note 20 Ultra 5G has a Bill of Materials cost of US$548.90 or 42% of the US$1,299.99 price tag
Daniel R Deakin, 2020-09-11 (Update: 2020-09-12)
Daniel R Deakin
Daniel R Deakin - Managing Editor News
My interest in technology began after I was presented with an Atari 800XL home computer in the mid-1980s. I especially enjoy writing about technological advances, compelling rumors, and intriguing tech-related leaks. I have a degree in International Relations and Strategic Studies and count my family, reading, writing, and travel as the main passions of my life. I have been with Notebookcheck since 2012.