Why are mobile phones getting more expensive?

I think the reasons can be roughly divided into the following:

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Increased costs

Smartphone production includes screens, chips, memory, cameras, batteries and other components. Most of the components of domestic mobile phones are heavily dependent on foreign imports. Coupled with the current changes in currency exchange rates and the continuous increase in the price of mobile phone raw materials, the cost of mobile phones will naturally increase gradually. After all, people's wages have also increased. In order to stabilize profits, mobile phone manufacturers can only increase the price of mobile phones.

Black technology continues to emerge

Smartphones today are no longer just for making calls, but are more for entertainment. As the components of mobile phones are several levels higher than before, mobile phone manufacturers are constantly exploring the functions of mobile phones and striving to develop new black technologies. The continuous improvement of AI technology, facial recognition, screen fingerprint, super fast charging and other technologies have all increased the added value of mobile phones. These research and development also require funds, so naturally the price of mobile phones has increased.

The rise of domestic mobile phones

About ten years ago, there were few domestic manufacturers of smart phones, and most of the market was occupied by Apple. We also use Apple. In recent years, domestic brands have become stronger and stronger. Huawei once competed with Apple and Samsung, two international giants, for the market, which shows its great influence. In recent years, domestic mobile phone brands have wanted to establish their own brand image. For example, Xiaomi wants to get rid of its once famous price-performance ratio and enter the high-end mobile phone market. In order to produce high-end mobile phones, mobile phone manufacturers will put in a lot of effort in research and development and materials, and will vigorously promote them. This will increase their costs invisibly, so the price of mobile phones will naturally increase.

Patent costs are also high

Over the years, people's calls for innovative technologies have been growing louder and louder. Naturally, major mobile phone manufacturers are unwilling to fall behind and have increased their investment in innovative technologies. They all want to own patents so that they can have a say and be competitive.

For example, not long ago, the World Intellectual Property Organization released a report showing the number of international patent applications submitted by countries and companies through the Patent Cooperation Treaty (PCT). From the perspective of companies, Huawei won the global championship in 2020 with 5,464 PCT applications. This is also the fourth consecutive time that Huawei has won this honor.

So, do you know why Huawei dares to sell its phones at such high prices? They have the capital.

Most domestic mobile phones still have to pay a lot of copyright fees to the United States every year, and this is also because they do not have their own core technology and are stuck. Falling behind means being beaten, this has been the same for hundreds of years.

Due to the above reasons, it is normal that mobile phones are becoming more and more expensive. Apple has become cheaper than before in recent years, which is also due to the impact of domestic mobile phones.