5G-enabled phones are already becoming a reality, with companys which includes OnePlus, Xiaomi and even Lenovo rushing to release the initially commercial phone equipped with the technology. Xiaomi has been teasing about it since the launch of the Mi MIX 3, however it was only whenever Qualcomm noted its Sd 855 that the matter went from a chance to an immediate concern.
Since then, much has been said about the costs of producing 5G phones – estimatives ranged from up to an additional $100 such as taxes. Presently, a report claims that chinese manufacterers have Lastly settled on a fixed ammount: CNY 500 (around $74). This calculation takes into account a base “4G+500” formula, to be adopted despite of model and maker.
As stated by to researches, this price tag will barely cover the a lot more costs in producing a 5G smartphone. Just a modem and a compatible chipset alone are set to price about $50, with a further more $30 for fresh antennas and other hardware. This reveals that the chinese companies are taking a far more cost-effective approach, opting to gain in quantity rather than profit.
Of course, with the increasing competition the value of 5G hardware will also start droppping soon, thus improving the profit margins too. It’s major to note that these values apply only to the chinese market; european and american users may perhaps be looking at higher costs (some say perhaps even as high as $200 to $300 more).