The 16GB Apple iPhone along with a two-year contract used to cost $128 with AT&T, Sprint and Verizon. Now the price tag is down to $98. AT&T offered the Samsung Galaxy S4 for $148 while Verizon had the device on for $168. Anyone considering it can now pick it up for $138 along with a two-year contract.
The price drops came after Apple revealed the iPhone 5S and 5C, the latter is to take over from the Apple iPhone 5. The Samsung Galaxy S4 price drops have been related to rumours that Samsung may reveal the Samsung Galaxy S5 early in 2014.
Both the Samsung Galaxy S4 and Apple iPhone 5 have been compared against each other many times and while those looking to buy a new device may not know much about the tech, they at least know what they want from a device.
Devices from Apple are known for the smooth performance they offer and Android devices are associated with personalisation.
Anyone choosing a handset may want to factor in the cost of making that device because this will have an effect on the asking price.
While both handsets have been competing well against each other we do known that Apple and the iPhone 5 are ahead when it comes to the costs of production.
HIS iSuppli said that this difference is substantial. Apple does like to put profits ahead but they are in front for innovation and pricing competition.
Costs for manufacture of the Apple iPhone 5 16GB are said to be $196, $217 for the 32GB and $328 for the 64GB.
In comparison the 16GB version of the Samsung Galaxy S4 4G costs $244. This was divided by material costs of $236 and manufacturing costs of $8.50. The Samsung Galaxy S4 costs $48 more to manufacture than the Apple iPhone 5. The Samsung Galaxy S4 LTE 16GB costs $3 less to manufacture.
HIS iSuppli said “Although [the S4’s] hardware is not radically different from the Galaxy S III introduced in April of 2012, the Samsung Galaxy S4 includes some critical component updates that enhance its functionality as well as its BOM cost. Among the upgrades are a larger, full high-definition display; a beefed-up Samsung processor; and a wealth of new sensors that set a record high for the number of such devices in a smartphone design.”