When a high-end device with high selling price goes out in the stores, it is always interesting to see how much does it costs to the company to manufacture the device and therefore how much does the company gain with each piece. These figures appeared for Galaxy S5!
The device, as we all know, costs around 690-729 euros in Europe, but the question is how much does it costs to Samsung to make it. IHS made a “teardown” for S5, saw all its parts and took the total cost on the basis of the value of each part. The prices are in dollars but you can easily export your findings … the S5 costs 256 dollars with the display to be the most expensive part (65 dollars). The RAM memory and the flash storage cost 33 dollars, while the fingerprint sensor costs just 4 dollars and the pulse sensor only 1.75 dollars. The cost of assembly is about 5 dollars.
So Samsung gains 500 euros with each selling of S5, but of course things are not like that. Because the above costs do not include the costs of hardware and software, the advertising, the packing, the accessories, the distribution of the device through the channels, etc. , which also increase the cost but they are not be able to be calculated for now.
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