Android Flagships of 2021 Might Cost Significantly More due to Rumored Increase in Unit Cost of Snapdragon 875

Qualcomm produces processors based on the ARM architecture for almost all smartphones ranging from entry-level devices to flagships. The company has now become the sole front of performance in android devices though its products are still behind Apple’s offerings. The Snapdragon 865 made 5G available to all android flagships even the 5G connectivity in the mid-range offerings is due to Qualcomm’s efforts.

With the current global situation, it has become difficult for any company to operate efficiently, and it is true for Qualcomm too. Reports suggest that Qualcomm is asking for more than usual for its flagship processor. These are still rumors, and the company hasn’t even responded to these yet, but the increased price could be due to supply chain disruptions and hence increased production costs too.

Qualcomm is reportedly asking for around $250 (which is around $100 more than the usual price of $150-160) for its upcoming Snapdragon 875 SoC. The cost of production for SD 875 is $130 which is $50 more than its predecessor. The same could be the story for the respectively lower-tier products too. It means we could expect smartphones to become more and more expensive. Companies like Xiaomi and OnePlus who make budget flagships will be the most affected.

It is said that Qualcomm is trying to decrease production costs, but the price of the improved modem alone costs considerably more than its counterpart in SD 865. Lastly, it would be interesting to see its effect on “flagship killer” devices.


Mohsin Naeem

Mohsin is a budding writer who has a thing for PC hardware and gaming. He has been building computers according to the need of his clients and is well versed in the area. He is an economics major and the analytical skills he learned from his academics adds to his writing and gives him a unique way to observe the tech industry.
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