If you think your Android phone or iPhone is now expensive, just wait. Foldable phones such as theand and 5G-enabled devices, such as the and will be the Driving phone prices far beyond the $ 1,000 mark, which has become the upper limit for premium phones. Everything that will change.
Samsung's foldable Galaxy Fold version starts at $ 1
In the meantime, Huawei's foldable mobile phone, the Mate X, will cost buyers $ 2,300 or $ 2,600. This is high for a leather and sapphire crystal phone and unique for a plastic phone. Huawei also positions the folding Mate X in this new category of hybrid devices.
Even 4G phones with "candy bars" in 2019 that do not bow and have no 5G will see price inflation. The Galaxy S10 ($ 900) costs 20 percent more than the Galaxy S9's average price ($ 850). Likewise, the budget-conscious($ 299) rose 20 percent over the ($ 249). Even the gained 3.8 percent in four months versus the OnePlus 6 (529 USD).
And that's for the launch models. Increase your storage capacity and phones will be even more expensive. For example, if you want a($ 1,000) with 512GB of storage, you pay 35 percent more ($ 1,349).
While there are certain circumstances that make prices beat faster, this triumvirate of rising costs is making most mobile phones explosively expensive in 2019. New technologies and designs such as folding screens and 5G speeds lead to price increases in the name of advancing brand positioning to an ultra-high segment that can make any sale more profitable. This is important in a climate where mobile phone sales are slowing and people are sticking to their devices for three years or more.
The fact that people are buying ever more expensive top-of-the-line handsets underscores the importance of the mobile phone as an all-purpose device for communication, work, photography and entertainment. And with computing power, camera technology, battery life, and Internet data improving generations from generation to generation, the value that people attach to a phone will certainly grow in importance.
"Consumers are willing to pay a premium for a mobile phone because it's arguably the most important product in their lives," said Ben Wood, chief research analyst at CCS Insight.
The data from 13 phone models from 2016 to 2019 show a pattern of sharp price increases, which we expect to increase in 2019 and beyond (see graph below).
Rising prices are not uncommon. Faster, better components like processors and multiplication cameras cost more. The financial burden of researching and developing new materials is also being integrated into the final product.
And inflation also affects the cost of goods outside technology. But spending on research and development and inflation does not tell the whole story of your phone.
Yes, your phone costs more each year
are top brands on the rise. The increase is immediately apparent when comparing today's telephone prices with the same model released two or three years ago in some cases.
Apple's prices have risen steadily for both the standard-size iPhone and the Plus and Max lines, making the iPhone XS Max a luxury spin-off. The prices for Samsung Galaxy S, S Plus and Note also increase for standard models.
Yes, thehas less than $ 750, but the are now more expensive than their Galaxy S9 equivalents a year ago.
US Phone Rates 2016-2019
|2016 (starting price)||2017 (starting price)||2018 (starting price)||2019 (starting price)||% change of the highest price of 2016 to the current model|
|Galaxy S10 E||N / A||N / A||N / A||Galaxy S10E: $ 750||N / A|
|Samsung Galaxy||Galaxy S7: 650-695 $||Galaxy S8: $ 720- $ 750||Galaxy S9: $ 720- $ 800||Galaxy S10: $ 900||29.5%|
|Samsung Galaxy Plus||S7 Edge: $ 750- $ 795||Galaxy S8 Plus: $ 785- $ 850||Galaxy S9 Plus: $ 840- $ 930||Galaxy S10 Plus: $ 1,000||25.8%|
|Samsung Galaxy Note||Note 7: $ 834-880||Note 8: 930-960 $||Note 9: $ 1,000||Expected Aug. 2019||13.6%|
|Motorola Moto G||Moto G4: $ 199||Moto G5 Plus (not a Moto G5 in the US): $ 229||Moto G6: $ 249||Moto G7: $ 299||50%|
|LG G series||LG G5: $ 576-689||LG G6: $ 600- $ 720||LG G7: $ 750- $ 790||LG G8: TBD||14.7%|
|LG V series||LG V20: 672-829 $||LG V30: $ 800-912||LG V40: $ 900- $ 980||LG V50: TBD||18.2%|
|iPhone (cheapest)||iPhone 7: 649 dollars||iPhone 8: 699 dollars||iPhone XR: $ 749||Expected Sept. 2019||15.4%|
|iPhone X||N / A||iPhone X: $ 999||iPhone XS: $ 999||Expected Sept. 2019||0%|
|iPhone Plus / max||iPhone 7 Plus: $ 769||iPhone 8 Plus: $ 799||iPhone XS Max: $ 1,099||Expected Sept. 2019||42.9%|
|OnePlus||OnePlus 3: 399 US dollars||OnePlus 5: 479 $ / OnePlus 5T: 499 $||OnePlus $ 6: 529 / OnePlus 6T: $ 549||Expected June 2019||37.6%|
|Google Pixel||pixels: 649 US dollars||Pixel 2: 649 US dollars||Pixel 3: $ 799||Expected Oct. 2019||23.10%|
|Google Pixel Plus||Pixel XL: $ 769||Pixel 2 XL: $ 849||Pixel 3 XL: $ 899||Expected Oct. 2019||16.9%|
OnePlus has experienced a steady escalation, the price of which increases with each new model. OnePlus is currently on course for two variations per year: thewhich was introduced in October 2018 for $ 549 for the base configuration.
The $ 569 price tag rumored forseems to be a minor push, especially as it still costs nearly half the price of a $ 1,000 phone. Regardless, the operating costs increase for you.
"As smart phone dependency has increased dramatically in a short time, increasing the quality and components throughout the industry required to meet the high performance requirements has also increased," said OnePlus representative last time August.
According to LG, Key [pricing] factors include component costs, competitors' prices, airline incentives, tariffs, etc., "said Ken Hong, LG's senior director of global communications, in an email. "The fact is that these input costs are rising, so we have to follow suit."
CNET turned to all manufacturers mentioned in this story to comment on them.
Interestingly, theand the same cost as Pixel and Pixel XL However, Google increased the price by 23 percent without adding a second camera on the back and making minimal design changes Increased the price to keep up with the competition.
But making phones is now more expensive, right?
Phones, like all electronic devices, consist of parts different from those of Lie It is a sure bet that the cost of the phones will also play a role in increasing the cost of these parts.
The demand for more storage in recent years has led to price increases that are driving up storage costs and causing suppliers to invest in building more factories to meet demand, Wood said. 03-nokia-9 “height =” 0 “width =” 970 “data-original =” https://cnet1.cbsistatic.com/img/0kmYJHvj3zjQ-ovOd3NA-mba0RE=/970×0/2019/02/23 /aa1825b0-e6f3-4fe3-b142-7b708f958471/03-nokia-9.jpg”/>[19659127ote03-nokia-9[19659118diesefünfKamerasaufderRückseitedesNokia9PureViewsindnichtkostenlos19659014] Sarah Tew / CNET
Add more sophisticated cameras – such as the iPhone 3S 3D depth-sensing camera – or multiple lenses such as the Galaxy S10 andor also cost more. Likewise materials such as Glass or ceramic as a base for a mobile phone or robust aluminum for the aviation industry for the frame.
You can bet that the first mobile phone debuting a diamond glassor the new smudge-proof will not be cheap. It's also expensive for companies like Samsung to create a completely new manufacturing process for elements such as the Galaxy Fold display.
But while the cost of all of these components – the so-called Bill of Materials or BOM – can partially explain why high-end phones cost more each year, many experts say phoneme makers are filling their profits.
"I certainly accept that some of the cost elements came from the components and manufacturing process … but not on that scale," Wood said.
Carolina Milanesi, an analyst at Creative Strategies, agrees.
"These phones are certainly used more than ever," she said in an email. "The BOM certainly grows on these devices, but I think the brands apply a premium margin to their flagship products because they're status icons."
The 5G Effect and the Foldable Effect
Apple and Samsung struggled with stagnating sales during the course of 2018, but this did not stop Apple in particular from benefiting greatly.
In August 2018, it became adue to high iPhone sales margins, even though it became the third-ranked Phonemaker . Whether the interest continues to cool or is picked up with 5G and foldable phones, will be kept in the eye of the industry observers 2019. Nevertheless, the advent of 5G and foldable phone designs will likely give phone manufacturers more license costs. 5G phones require completely new technology in the device, and the phones need to be tailored to a single network operator. That's at least until 5G grids really get going. In the early days of 5G phones, prices could rise by [$ OnePlus told CNET in December 2018.
We are still waiting for the prices for most of the previously announced 5G phones.
"If you generate enough value [in the phone]consumers will be ready to pay," said Justin Denison, Samsung's SVP of Mobile, as Samsung debated the 5G phone for the first time last December.
Foldable phone designs are even more expensive, including the Galaxy Fold, Mate X, and afor $ 1,500. These phones have bendable plastic films that open to a larger display like a tablet, but fold into a device that is about the same height and width as today's (albeit thicker) phones.
Compared to these $ 1,500 and $ 2,000 devices, a high-quality 4G phone seems to be typical for $ 1,000. However, top-of-the-line costs in 2019 can lead to more expensive 4G phones, for which there are no 5G radios and foldable displays. With today's Galaxy S10, the iPhone XS and the Huawei Mate 20 Pro shooting up prices, other players have reason to follow the example. Even mid-tier models can increase their prices as long as the devices cost less.
For example, at $ 549, the OnePlus 6T still costs nearly half of what you would spend on the Galaxy S10 Plus and the iPhone XS, a relative value many people find easy to swallow for a "cheaper" phone with end parts.
According to Wood, the analyst, everything started when Apple announced the $ 1,000 iPhone X. "They did a favor to the entire industry," Wood said. "It gave all the other manufacturers some room to breathe, and I can imagine that the hallways of Samsung and Huawei were a pleasure."
Raising the price cap has a further consequence. Apple and Samsung introduced the iPhone XR and the Galaxy S10E as palate cleaners for $ 750 at the entry-level prices of the iPhone XS ($ 1,000) and the Galaxy S10 ($ 900). For comparison: 750 dollars seem to be a regular deal. Reducing the cost of entry to an "affordable flagship" is a game to keep cost-conscious shoppers within the iPhone or Galaxy family.
Midrange phones are still affordable but may not be immune.
Although foldable phones and 5G phones blow up buyers' price expectations, this does not mean that the cost of any phone will rise at such high rates.
We continue to see fierce mid- and low-end competition in which mobile phones like the Motorola Moto G7 andoffer excellent home appliances for the budget. Yes, the prices increase as in the Moto G6 to G7 in percent. However, with the total cost still around $ 300, Motorola's move is less drastic than the upper range. Even at this high-end price, a $ 1,000 premium phone can still cost hundreds of dollars less than a modern 5G device and possibly half a foldable phone.
Other brands looking for wallet lovers include Huawei, the Hon brand, Nokia, Xiaomi, Sony, Oppo and Asus. They help bridge the gap around the world by silently offering basic, affordable cell phones to cost-conscious shoppers. They make both premium cell phones and midprice devices, though not every phone will be available in every market.
While the brightest and most powerful devices are still on their way to their highest prices, there is still a strong demand for mid and entry phones targeted at people with a tight budget or more basic needs.
If a $ 1,000 phone sounds too outrageous, you may need to find beauty in a rather modest phone or overcome the sticker shock and accept that the days of a $ 600 flagship phone are long behind us. In fact, $ 1,000 will become the new normal.
Originally published on 5 August 2018 and updated regularly.