iPhone 6 vs. Galaxy S5: Component Cost Breakdown

iPhone 8JESHOOTS / Pixabay

The smartphone is an amazing piece of technology. That small device does a lot of things for you. Ever wondered how a smartphone is made and how many companies are directly involved in putting together a single device? Electronics insurance provider Protect Your Bubble takes a look at how many companies contribute components to the iPhone 6 and Galaxy S5.

Apple relies on 21 suppliers for the iPhone 6

The breakdown reveals that it takes 21 suppliers from seven countries to build a single iPhone 6. Notably, Apple’s biggest rival Samsung is a key supplier for the iPhone 6. According to Protect Your Bubble, the Cupertino company sources the iPhone 6 display materials from Japan Display, Innolux, Broadcom and Texas Instruments at an average cost of $41.50.

The iPhone 6 camera, supplied by LG Innotek, costs $16.50. SK Hynix-made NAND flash memory costs $5. The A8 processor used in the iPhone 6 costs $37. Samsung supplies 40% of the A8 chips while Taiwan-based TSMC handles the remaining 60%. Samsung has reportedly also bagged an order to make A9 processor for Apple’s next smartphone.

Samsung makes most of the Galaxy S5 components in-house

The Galaxy S5, launched last year, features Corning Gorilla Glass that costs $38.42 per unit. Unlike Apple, Samsung makes most of the components in-house for the Galaxy S5 as well as the recently launched Galaxy S6. The Intel-made chip in the S5 costs $43.22. Invensense, Yamaha, STMicroelectronics and Maxim are among other suppliers.

PYB Assets-SamsungGS5

Just in case you didn’t know, the latest Galaxy S6 Edge is more expensive to build than the 5.5-inch iPhone 6 Plus. According to a teardown by IHS Technology, the total bill of materials for 128GB iPhone 6 Plus is $263. By comparison, the 64GB version of S6 Edge costs Samsung $290 to build and assemble, making it even more costly than the most expensive iPhone. But the S6 Edge is less costly for consumers than the iPhone 6 Plus. It means Samsung is willing to sacrifice its margins to gain market share.

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About the Author

Vikas Shukla
Vikas Shukla has a strong interest in business, finance, and technology. He writes regularly on these topics. - He can be contacted by email at [email protected] and on Twitter @VikShukla10

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