4 ms·

If only there were some way for google to get high quality usb-c cables to customers! Like not charging $13 plus shipping for a 1m cable (a ridiculous profit m

by x0x0 11y ago

If only there were some way for google to get high quality usb-c cables to customers! Like not charging $13 plus shipping for a 1m cable (a ridiculous profit margin), and keeping them in stock. Or hell, throwing 5 of them in with everything they sell that uses usb-c. I mean, that would have to cost dollars. Whole dollars, on a $500 phone! https://store.google.com/product/usb_type_c_to_usb_standard_a_plug_cable https://store.google.com/product/usb_type_c_to_usb_standard_...

fixermark 11y ago
The fact that the market is full of low-cost USB-C cables that aren't reliable may suggest that the cables cost $13 because it's actually a $13 problem to get it right. ;)
- odbol 11y ago
  It's probably not. It's just no one is buying USB-C cables yet. Once they are common and produced at massive scale, the price will drop considerably.
  - TeMPOraL 11y ago
    Oh they are produced on a massive scale, and they are cheap - in Shenzhen, it's easier to find them now than the ordinary ones. Every other vendor has them stacked up to the roof.
- Dylan16807 11y ago
  Nah, it just suggests that nobody cares.
kllrnohj 11y ago
The ones on Amazon are all $15-$20 and even monoprice is $10 Since Google isn't the manufacturer they are not making a ridiculous profit margin. Whole dollars on a $500 phone is more likely to be Google's entire profit margin, though. The profit margins on phones is razor thin unless you're Apple.
- x0x0 11y ago
  Just because monoprice sells them for $10 one at a time, I don't think that tells you much about the cost to put more than one in phone package you're already handling when you buy millions at a time.
  - kllrnohj 11y ago
    Monoprice also has volume pricing and it's also $10/ea even when you're buying 50+. The simple fact is nobody that makes cables is selling them for cheap currently. The volume isn't there yet, and they still need to recoup costs from spinning up a new production line and a new SKU and all that. And LOL @ the idea that Google sells millions of phones.
gleenn 11y ago
Manufacturers got to lengths to squeeze pennies out of the Bill of Materials (BOM) in products like these. I remember listening to some conversations and being blown away at the tiny savings here and there, and our product was over $100.
- x0x0 11y ago
  But so what? Why is google selling phones -- to promote android and google as a brand, or to make money? If it's to make money, fine, then eek every penny out of that BOM. But they claim it's the former, and cheap cables are apparently a brand image problem, so they should solve it by not cheaping out on the large investment they've already made.
  - AnthonyMouse 11y ago
    Google promotes Android by selling the device near cost. Even if they're not making money, they aren't going to sell devices at a loss (-$5 times a hundred million devices is real money), which means the only way to increase the manufacturing cost is to increase the sale price. When it's only a dollar or so you might expect the customer to want to pay the extra dollar in exchange for the benefit, but in practice the device is going to be priced at a threshold like $499 and the psychological difference between $499 and $500 would measurably drive down sales. But the bigger problem is that this is hardly the only facet of a device you could improve by making it cost a tiny bit more. Add them up and it would add $100 or more to the price of the device. So you can't have them all, but decide against any one in particular and everyone wants to know why you're cheaping out over a buck.
IshKebab 11y ago
Some USB C cables are actively marked. I.e. they have a chip in them that says "I support power delivery" and so on. It can also be used to create Apple-style authenticated cables which is a bit shit. Anyway if these cables contain such chips $13 seems reasonable.

by x0x0 11y ago

fixermark 11y ago

The fact that the market is full of low-cost USB-C cables that aren't reliable may suggest that the cables cost $13 because it's actually a $13 problem to get it right. ;)

odbol 11y ago
It's probably not. It's just no one is buying USB-C cables yet. Once they are common and produced at massive scale, the price will drop considerably.
- TeMPOraL 11y ago
  Oh they are produced on a massive scale, and they are cheap - in Shenzhen, it's easier to find them now than the ordinary ones. Every other vendor has them stacked up to the roof.
Dylan16807 11y ago
Nah, it just suggests that nobody cares.

kllrnohj 11y ago

The ones on Amazon are all $15-$20 and even monoprice is $10 Since Google isn't the manufacturer they are not making a ridiculous profit margin. Whole dollars on a $500 phone is more likely to be Google's entire profit margin, though. The profit margins on phones is razor thin unless you're Apple.

x0x0 11y ago
Just because monoprice sells them for $10 one at a time, I don't think that tells you much about the cost to put more than one in phone package you're already handling when you buy millions at a time.
- kllrnohj 11y ago
  Monoprice also has volume pricing and it's also $10/ea even when you're buying 50+. The simple fact is nobody that makes cables is selling them for cheap currently. The volume isn't there yet, and they still need to recoup costs from spinning up a new production line and a new SKU and all that. And LOL @ the idea that Google sells millions of phones.

gleenn 11y ago

Manufacturers got to lengths to squeeze pennies out of the Bill of Materials (BOM) in products like these. I remember listening to some conversations and being blown away at the tiny savings here and there, and our product was over $100.

x0x0 11y ago
But so what? Why is google selling phones -- to promote android and google as a brand, or to make money? If it's to make money, fine, then eek every penny out of that BOM. But they claim it's the former, and cheap cables are apparently a brand image problem, so they should solve it by not cheaping out on the large investment they've already made.
- AnthonyMouse 11y ago
  Google promotes Android by selling the device near cost. Even if they're not making money, they aren't going to sell devices at a loss (-$5 times a hundred million devices is real money), which means the only way to increase the manufacturing cost is to increase the sale price. When it's only a dollar or so you might expect the customer to want to pay the extra dollar in exchange for the benefit, but in practice the device is going to be priced at a threshold like $499 and the psychological difference between $499 and $500 would measurably drive down sales. But the bigger problem is that this is hardly the only facet of a device you could improve by making it cost a tiny bit more. Add them up and it would add $100 or more to the price of the device. So you can't have them all, but decide against any one in particular and everyone wants to know why you're cheaping out over a buck.

IshKebab 11y ago

Some USB C cables are actively marked. I.e. they have a chip in them that says "I support power delivery" and so on. It can also be used to create Apple-style authenticated cables which is a bit shit. Anyway if these cables contain such chips $13 seems reasonable.