With a plethora of smartphones available on the market, now we can easily get a good device from popular companies like Apple, Samsung, HTC or LG.

However, consumers always want to get the most out of their money. They want to know if the manufacturers are making a lot of profits from their products. Therefore, we investigate the production cost of the top-selling smartphones on the market and this could be an important suggestion for your decision.

The production cost is based on teardown of the device, analysis of specs and information from suppliers. The most costly parts are often the core electronics, display, memory, and camera.

Let’s check out the list of smartphones with information about production cost (Bill of materials plus manufacturing cost), full retail price at launch and profit margin.

 Smartphone Production Cost  Retail Price  Profit margin
Apple iPhone 7 (32GB)  $224.80  $649  65.4%
Apple iPhone 6S Plus (16GB)  $236  $749  68.5%
Apple iPhone 6S Plus (64GB)  $253  $849  70.2%
Apple iPhone 6S (16GB)  $211.50  $649  67.4%
Apple iPhone 6 Plus (16GB)  $215.60  $749  71.2%
Apple iPhone 6 Plus (128GB)  $263  $949  72.4%
Apple iPhone 6 (16GB)  $200.10  $649  69.2%
Apple iPhone 6 (128GB)  $247  $849  70.9%
Apple iPhone 5C (16GB)  $183  $549  67%
Apple iPhone 5S (16GB)  $199  $649  69%
Apple iPhone 5S (64GB)  $218  $849  74%
Apple iPhone 5 (16GB)  $207  $649  68%
Apple iPhone 4 (16GB)  $188  $599  69%
Apple iPhone 4S (16GB)  $188  $599  69%
Google Pixel XL (32GB)  $285.75  $769  62.84%
Samsung Galaxy Note 3 (32GB)  $232.50  $699  69.6%
Samsung Galaxy S3 (16GB)  $213  $549  61%
Samsung Galaxy S4 (16GB HSPA+)  $244  $579  58%
Samsung Galaxy S5 (32GB)  $256  $569  55%
Samsung Galaxy S6 (32GB)  $275.50  $699.99  60.6%
Samsung Galaxy S6 Edge (64GB) $290.45 $799.99  63.7%
Samsung Galaxy S7 (32GB) $255 $599  57.4%
Samsung Galaxy S8 (64GB) $307.50 $720  57.3%
 Notice that we don’t take into account other costs like marketing, research and development, distribution, staff or packaging, so the manufacturers wouldn’t earn that much profit from their products.

The prices we listed above are the full prices at launch, most of them could have been adjusted after a few months or even weeks. We don’t use subsidized prices from carriers because you have to pay more during the contract. Therefore, make sure to double check the price before purchasing


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