These days one amazing and disturbing fact is that mobile phones are getting expensive. The premium smartphones are even those at the apex of price hikes. People used to complain about how phones under the $1,000 USD mark are very expensive but today smartphones are getting above the $1,000 USD mark and ready to even go further.
Yet people see this as normal these days because people also continue to encourage the production of expensive phones.
The smartphone industry is not ready to reverse this trend yet. In fact, this is so because consumers are egging phone companies on. Apple on its part is a phone company known for producing high-end smartphones. Even though many phone makers have wanted to raise devices price for a long time, it is Apple that got to it first before any company could.
When Apple sold the iPhone X at a thousand dollars, people rushed to buy the premium device and it was a kind of status. Apple realized its dreams by selling that phone on a massive scale but since then other phones have even sold for more and not just on Apple’s stable.
In spite of all the complaints and rave reviews that Apple got for releasing a very expensive device, the tactic survived and the continued to sell other high-end smartphones at higher prices.
Apple was bold to announce that there are people who would buy these expensive smartphones and these people, Apple said, are ready to pay whatever price it took to buy a good smartphone. Once Apple succeeded, Samsung, Huawei, and a few others started to do the same thing.
Smartphone makers are quick to cite rising cost of components as the main reason why phones are becoming expensive. They often presents what is known as the Bill of Materials. True, more advanced component cost more to make and some materials produce lower yields and this increases their cost. As long as our devices cram many of these components to a small space, prices will certainly keep going up.
In spite of this fact, OnePlus has been able to sell flagship phones at less than equivalent smartphones even though the company keeps warning about increasing component prices.