Overview / Main Features
The HP B42-250BR notebook computer under analysis here is a 14 inch laptop featuring Intel Core i3-350M processor and HM55 platform controller system. The HP laptop comes configured with 4GB of SO-DIMM memory as well as a 500GB hard disk drive. Wireless connectivity supported are 802.11 b/g/n as well as Bluetooth V3.0.
Pricing - Based on current Brazilian Real to US Dollar conversion rates, the HP G42-250BR retails for approximately $1100. Keep in mind that this price reflects the various tariffs that are imposed on electronics goods in Brazil that can be very substantial (i.e. nearly 2x cost of similar products in the US)
Availability - Brazil
For the purposes of this teardown analysis, we have applied a lifetime production volume of approximately 2M units.
As a reminder, teardown volume production assumptions are primarily used for our cost analysis in terms of amortized NRE and tooling costs, especially for custom components specific to the model being analyzed (mechanical components especially). Unless assumed volumes are different by an order of magnitude, minor changes in volume (say 1 million vs. 2) rarely have a large net effect on our final analysis because of this.
Main Cost Drivers ~85% of Total Materials Cost
Intel - CP80617004161AC - CPU - Intel Core i3-350M, Dual Core, 2.26GHz, 3MB L3 Cache, 32nm Process
Seagate - ST9500325AS - Hard Drive - 500GB, 2.5', SATA 3Gb/s, 5400RPM, 8MB Buffer
Smart Modular Technologies - SH564568FH8NWPHSFG - SO-DIMM DDR3-1333 - 2GB, 256Mx64, 1.5V, Contain 16 SMART S4B1G0846F-HCH9 Memory ICs (Qty:2)
Samsung - LTN140AT07-H02 - Display Module Value Line Item - 14.0' TFT LCD, 1366 x 768 Pixels, 262K Colors, LED Backlight
Intel - BD82HM55SLGZS - Platform Controller Hub - HM55 Express Chipset, 65nm
Toshiba Samsung Storage Technology - TS-L633N - CD/DVD RW Drive - 8x, Slim Internal Type, Tray Load, SATA, LightScribe, w/ Double Layer Support
Simplo Technology - Battery Pack - Li-Ion, 6-Cell, 10.8V, 4350mAh, 47Wh
HannStar - 6-Layer - FR4, Lead-Free, Halogen-Free
Delta Electronics - ADP-65HB - AC Adapter - 18.5V, 3.5A, 65W, w/ 6ft Cord & Velcro Strap
Sunrex - Keyboard Assembly - Injection Molded Plastic Keys, Mounted on Metal Backing Plate, 6 Standoffs, w/ Interconnect Flex
Enclosure, Main, Bottom - Injection Molded ABS Polycarbonate, w/ ESD/EMI Coating, & 22 Threaded Brass Inserts
WLAN Half Mini PCIe Module - IEEE802.11b/g/n, Contains Realtek RTL8191SE-VA2 Single Chip Solution
Cooler Assembly - Aluminum Fins, Copper Heat Pipe, Copper Plate, Die-Cast Aluminum Block, Stamped / Formed Electro-Galvanized Steel Fan Mount, Painted, w/ 4 Spring-Loaded Screws, & Thermal Transfer Material
Chicony - Webcam PCB - Contains VGA Camera Module, & Vimicro VC0345TLNAH USB2.0 Video Interface Controller
Enclosure, Display, Top - Injection Molded ABS Polycarbonate, Painted, w/ 10 Threaded Brass Inserts
Enclosure, Main, Top - Injection Molded ABS Polycarbonate, Painted, Printed, w/ 18 Threaded Brass Inserts
Broadcom - BCM92070MDREF - Bluetooth Module Value Line Item - V3.0, Contain Broadcom BCM2070 Single Chip Solution
Synaptics - TM1398 - Touchpad Assembly
Direct Materials + Manufacturing $397.43
What Is Not Included in our Cost Analysis
The total materials and manufacturing costs reported in this analysis reflect ONLY the direct materials cost (from component vendors and assorted EMS providers), AND manufacturing with basic test. Not included in this analysis are costs above and beyond the material manufacture of the core device itself - cost of intellectual property, royalties and licensing fees (those not already included into the per component price), software, software loading and test, shipping, logistics marketing and other channel costs including not only EMS provider and the OEM's margin, but that of other resellers. Our cost analysis is meant to focus on those costs incurred in the manufacture of the core device and exceptionally in some circumstances the packaging and literature as well.
Country of Origin / Volume Assumptions
Based on device markings, we've based our analysis with the final assembly in Brazil. Furthermore, we have assumed that custom mechanicals (plastics, metals, etc.) were also sourced in Brazil.
Country of origin assumptions relate directly to the associated cost of manufacturing, where calculated by iSuppli. In the cases of 'finished' sub-assemblies (such as Ethernet connectors), we do not calculate internal manufacturing costs, but rather assess the market price of the finished product in which case country of origin assumptions may or may not have a direct effect on pricing.
Remember also that labor rates are applied directly only to hand inserted components and systems in our bill of materials, and although regional assumptions do, these new rates do not have a direct effect on our modeled calculations of placement costs for automated SMD assembly lines. "Auto inserted components (such as SMT components) placement costs are calculated by an iSuppli algorithm which allocates a cost per component based on the size and pincount of the device. This calculation is affected by country or region of origin as well.
Design for Manufacturing / Device Complexity
The HP G42-250BR has an overall component count of 1674 (excluding box contents), of which 1233 components reside on the motherboard.
Component counts have a direct bearing on the overall manufacturing cycle times and costs, and also can increase or decrease overall yields and re-work. Our calculations of manufacturing costs factor counts and more qualitative complexities in the design. The cost of manufacturing is also, to some extent, decreased in this case because of assumed labor rate applied for Brazil.
Note that manual labor has a much smaller effect on auto-insertion assembly lines (for the Main PCB, for example), where manufacturing costs are much more capital equipment intensive and driven by these investment costs.