4 ms·
349 without contract is really cheap. Why do you say is not? Is the same as the LG Nexus 5.
by TsomArp 12y ago
349 without contract is really cheap. Why do you say is not? Is the same as the LG Nexus 5.
- Consultant32452 12y agoI was thinking the same, and I have the LG Nexus 5. Most current gen smart phones without contract are more like $600.
- runjake 12y agoWhich is pretty outrageous, given it typically costs an OEM approx $200-$260 to manufacturer a phone. The Galaxy S5 costs Samsung something like $246 to manufacturer. It sells for $649 off-contract. Pretty big margins for somebody in that pipeline.
- slantyyz 12y agoDoesn't Samsung spend the most out of all mobile makers on marketing? I would assume they're also paying additional costs for Google Services, patent licenses and other things, which also cut into the actual margin.
- Infinitesimus 12y agoThat's the part people seem to forget. Software can be expensive because they are paying for several licenses (and for the hardware too) as well us paying several devs, managers, etc. to produce the software that runs on the phone.
- Steko 12y ago> typically costs an OEM approx $200-$260 to manufacturer a phone Yeah if you can sell 40+ million a quarter. OTOH if you're sales are more like HTC's you sell your flagship phones to carriers for $400 and break even.
- jotm 12y agoIt's not outrageous when you consider the marketing, distribution, R&D costs (incl. for future models) and of course, increasing wages (unless you like having people slave away 12 hours a day for $200/month). If you break even, what's the point of establishing a factory in the first place?
- kwanbis 12y agoActually the Nexus 5 for 349 has only 16GB. The 32GB version is 399. So 64GB is very good price.