Which Smart Phone is the Best Value?

The question of which cell phone manufacturer on prefers is a pretty polarizing question. Every day we see commercials from both camps mocking each other, and I will admit that I have reenacted the Samsung commercial near a line of people waiting to get into the Apple store at 10 in the morning for a product update. 

            It's time to take emotions like pride and loyalty out of the equation, and objectively ask the question: Which smart phones are the best value? To determine the value, we will start by looking at the costs of the phones. Not just the price people pay at the Apple store or with a phone plan, but the cost to produce the phone, not including labor. 

            For the iPhone 6 the total cost of parts came in at $200. To break that down into parts, the battery cost $3.50, while the screen came in at $41.50, the logic  board $126, the camera cost $16.50, the speaker is $7.00, and the rest of the phone cost $32.50. Apple has the iPhone 6 retailing for $649.99, so parts make up close to 35% of the phones total cost.

            On the Samsung Alpha side of things, the Alpha cost less to produce than it's Apple competitor, only amounting to $195.50 in parts. Both the battery and speakers are the same price at $3.50 and $7.00 respectively, but the rest of the phone was less expensive. The screen cost $40.00 while the logic board was only $109.50, the camera was $15 and the rest of the phone costs Samsung $20.50 With the phone retailing for $612.99, the parts represent just 32% of the cost.

            It is estimated that both companies pay less than $5 for the production of each phone, which does not significantly effect the percentages. Considering that some of Apples parts are just better, like the logic board, screen and the camera, and the fact that a higher percentage of the cost goes into the parts, the iPhone 6 is a better value.

            Considering Samsung's historically larger advertising budget, it is easy to see where the money is going. Both companies spent more than $300 million on television ads in the US alone. With both manufacturers entering all global markets, it is easy to see just how competitive the competition is. The Ad agencies and Television stations supported by these large programs,  of two companies attempting to be the best hand held electronic device manufacturers. 

            I guess the question remains of how the iPhone 6 Plus stacks up against the Galaxy s5 in terms of value. Both phones are powerful computing devices, but one always seems to have an edge over the other and it's changing all the time. This type of competition demands the production of unique, powerful and innovative devices.