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The base variant of Samsung Galaxy S10+, which boasts a respectable 128GB of internal storage, has been priced at $999.99 (Approx Rs. 138,000 in Pakistan). While on the other end of the spectrum, the 1TB model sells for a huge price tag of $1,599 (~ Rs. 222,000 in PKR).
Now we are going to estimate the real value of device by breaking down the cost of all its major components so we can know what the device really costs to Samsung and how much gross profit Samsung is making on each S10+.
The most expensive component in Galaxy S10 is the new 6.4 inch AMOLED Infinity O display which costs $86.50 (~Rs. 12,000 in PKR) per panel. The second most expensive component of the device is the processor Exynos 9820 and modems costs $70.50 (~Rs. 9,800 in PKR).
Breaking the component value down further, the new triple rear camera setup has a $56.50 (~ Rs. 7,800 in PKR) price tag. Storage and RAM costs an estimated $50.50 (~ 7,700 in PKR). Other things in process of manufacturing the Galaxy S10 such as internal testing, assembly, and bundled accessories costs $34.50 (Approx Rs. 4,800 PKR) per unit.
Now after adding the costs of all equipment, accessories and process of building a Galaxy S10+ we gets an estimated amount of $420 (~ Rs. 58,700 in PKR). So it looks like Samsung is making a gross profit of over 50% on each unit of Galaxy S10+. In terms of component value the Phone just costs 42% of what it’s being sold for.
