Samsung’s latest flagship smartphone Galaxy S21 Ultra’s Qualcomm Snapdragon 888-powered variant costs 7 percent less than the Samsung Galaxy S20 Ultra to make, according to a recent Counterpoint Research report. The Counterpoint Research report came up with the figure by analysing the bill of materials (BoM) data for the Samsung Galaxy S21 Ultra 128GB storage model. The report says that the cost of building the model is up to $533 (roughly Rs 39,500). The Samsung Galaxy S21 Ultra 5G starts at a price of $1,199 (roughly Rs 88,900) in the US. Counterpoint Research says that the integration of a 5G modem within the main chipset helped bring the cost of production down. The Counterpoint Research report says that the adoption of the in-house Exynos 2100 SoC provides more room for cost improvement. Samsung’s ecosystem contributed as high as 63 percent of the total BoM cost of the Galaxy S21.
The Counterpoint report also said that the increase in computing power with 5nm chips and a lower price as compared to older smartphones helped the Galaxy S21 series quickly gain traction in Europe and North America. In addition to the chipset, the Samsung Galaxy S21 Ultra also gets a reduced number of mmWave antenna modules, as compared to its predecessor, the Galaxy S20 Ultra. Samsung also removed the bundled 25W charger and wired earphones from the box, further bringing the cost down. The cost of connectivity slightly increased due to the support for UWB and S Pen, but the phone still got a lower cost price.
The Counterpoint report also says that the design cost of the Samsung Galaxy S21 and Galaxy S21+ is also less. The two models’ BoM cost is estimated to be 12 percent to 13 percent lower than the Samsung Galaxy S20 and Galaxy S20+ 5G – this is because of the lower density screens and the absence of ToF cameras along the decreased RAM capacity in the Galaxy S21+.
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