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Do the flagship phones have thin margins? The S8, N8, Pixel, LG30?? I don't think so. The lower end Android devices do, but they will not be using this chip.
by megy 9y ago
Do the flagship phones have thin margins? The S8, N8, Pixel, LG30?? I don't think so. The lower end Android devices do, but they will not be using this chip.
- sigmar 9y agoFlagship Androids definitely have low margins (relative to iPhones). Largely because of a lack of vertical integration and the need to compete against other brands in a heavily saturated market.
- janekm 9y agoOnly if you count the marketing budget. Samsung is highly vertically integrated, even more so than Apple. Paradoxically, the reason why flagship Android devices are as expensive as they are is to give the appearance that they are the same class of device as an iPhone. Price signalling is very important in the "flagship" segment. A "Note 8" likely costs Samsung less to produce than the Mix 2 does to Xiaomi (Xiaomi does not own factories or component suppliers unlike Samsung), and yet the Mix 2 sells for about 2/3rds what the Note 8 does. The rest is profit for Samsung. Though of course since Samsung is a conglomerate, the profit is distributed across multiple business units.
- bitmapbrother 9y agoNo, and anyone who suggests otherwise doesn't know what they're talking about. Flagship phones are where the money is.