Review 90: 14.03.2021 at 08:00 pm
🙀 Phone devices cost 1000 USD and even more! How much money do these company profit from us? What is the manufacturing cost for these phones?
And how much is the margin of the profit?
🕷 Hello dear, how are you today? Let’s find out together. . We will talk about the Samsung Galaxy Note 9 and the iPhone Xs Max for exemple.
These phones cost more than 1000 USD. There are also other phones that cost more than 1000 USD. These phones are from Oppo, Sony and Huawei. Lots of phones now cost more than 1000 USD. But I will focus on these two in this review as a exemple. Which of these company get more profit when we buy one these phones?
The manufacturing cost of the iPhone Xs Max, 256GB version is 443 USD. Apple sell it for 1249 USD without taxes.
Let’s talk about the profit margin. It is 64, 53%. Let’s keep in mind that companies invest in marketing, research and development and taxes among other things, so it will be less than 60%!
Let’s talk about the Samsung’s Note! The Note 10 is different than Note 9 as the Pen has a built in battery. The manufacturing cost of the Note approximately is 369$, Samsung sell it for 950 USD.
The margin of profit is 61,2%, Apple gets 3% more profit than Samsung. The profit margin is really huge: more than 60%! Samsung also invest in research and development. Why did I choose both of these devices? There is a different in the equation here.
Apple is not a manufacturer. They export lots of their phones part from other companies. For example, one of the exporters is Samsung!
They manufacture screens for Apple. Other companies also export batteries, lenses, cameras and sensors. Many of the internal parts of the iPhone are imported. The added cost is because they buy the parts from other companies. And in the Note case, they will profit because they sell Apple electronic parts.
Samsung is a manufacturer. The report shows the cost of the manufacturing, but in Samsung case, it will cost them less. They manufacture lots of the internal parts of the Note except for the batteries and other parts, and the rest is manufactured by them.
Samsung basically manufacture lots of the parts. Samsung, in some cases, gain 74% of profit.
Let’s talk about the iPhone 11 and 11 Pro Max. Apple profited a lot from these phones. The profit reached 70% and more! Both companies profit lots of money and they charge us with a lot of money to buy their devices. But the iPhone keeps its value, while the Note doesn’t.
There is a problem here. There is something ambiguous!
Let me remind you that both companies are fighting in courts, yet there is a huge business between them too! Apple sued Samsung for infringing their design, and Samsung sues Apple for infringing their patents. Yet, Apple buy their screens from them. The business between them is great. Yet, we always fight for which company is better!
One of them has become a kind of luxury brand. Apple has become a 2 trillion dollar company. The other company manufacture lots of the tech devices in our homes.
They manufacture air conditioner, refrigerators, washing machines and smart TVs among other things. When I visited Korea, I found out that they also manufacture weapons, chips and cities!
Samsung manufacture lots of things, even CCTVs. Who is profiting more then? I am waiting for an answer from you, but we have to know that the businesses between huge companies cost them lots of money, yet it is still business!
They will make profit from us whether you buy an iPhone or a Note! They will make profit from us! Shareholders are relaxed while making money!
No matter how high the prices are for devices, companies will still make profit from them! The only product I think of with a decent price that the manufacturer hasn’t made a lot of profit from is, the PlayStation. Sony doesn’t make any money from it, on the contrary, they lose! There is no huge profit for Sony from selling PlayStations!
The only profit Sony gets from the PlayStation is from the subscriptions they sell to users and from developing games!
They’ve designed the whole ecosystem to be business! The same thing with the iOS ecosystem and Google and its search engine and Android OS. All companies get profit from us and they control the prices. God protect us from the future prices!
This is the end of thereview Catwoman, Everything is expensive in this article! Let me go sell some devices! Peace be upon you all! hhhhhh
😻 Nice review hero, so let me buy some devices from you 😻😻😻
🕷 In fact, despite their high sometimes cost, but I like to keep them … I am a lover of technology. See you on Wifi 6 devices review Catwoman 🕸🕸🕸