Mid/low end - dual-band GSM/GPRS candybar, rotating VGA camphone (with 'flash') with 65K CSTN ('UFB' - Samsung specific) color display.
Candybar phones from Samsung seem to be pretty rare - but Samsung has had candybars holding down the low-end of their phone spectrum for some time now. This model represents what has happened to the 'low-end' of the spectrum - with color STN displays (rather than B&W) and with camera (the norm now), where before there was none. The low-end of the spectrum has indeed evolved. Furthermore, although Samsung has a number of low-end generic silver clamshell designs, it makes sense to have a candybar form factor option at this end of the spectrum, as candybar phones are inevitably less complex mechanically and typically have lowest overall cost both in terms of materials and manufacturing.
With the exception of the 180 degree rotating camera, and the integrated LED 'flash' lighting, this phone is a pretty ho-hum specimen with no real standout - features or clear marketing message from Samsung as to target market. This is probably because it is aimed more at the generic giveaway end of the market - where marketing messages are rarely specific and phones are design to be broadly acceptable in function and style.
Samsung Electronics' global market share in overall handset market share remained relatively flat, fluctuating from approximately 11 to 13% during the course of 2004. Furthermore, GPRS phones, such as this model, are expected to represent approximately 57% of the approximately 705 Million phones expected to ship in 2005. However, this model, as it is one of many by Samsung, and it is assumed that flip phones are more tha mainstay of Samsung, we are assuming a low-volume of 500K units over the lifetime of this phone. This volume assumption is used in our analysis primarily to calculate amortization of tooling and other NRE charges.
Main Cost Drivers representing approximately 53% of total materials cost
MCP - 256Mb NOR, 128Mb, NAND Flash, & 32Mb UtRAM
Display - (1.6, CSTN (UFB) 128x128 65K Color)
Baseband / Pwr Management Chips
RF Transceiver & PA
Materials and Manufacturing*
* - The total materials and manufacturing costs reported in this analysis reflect only the direct materials cost (from component vendors and assorted EMS providers), manufacturing and test. Not included in this analysis are costs above and beyond the manufacture of the core device itself - cost of shipping, logistics marketing and other channel costs including not only EMS provider and Samsung'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 (the phone and packaging, in this case) itself.
Labeled as Made in Korea, it is assumed that both final assembly took place in Korea, but also printed circuit board population. However, we furthermore assumed that mechanical components (plastics, metals, and other custom devices) were manufactured in low regional cost areas; in this case, China. We generally assume, if lacking proof positive otherwise, that although the final assembly may take place in a high-cost area such as Korea, that other phases of assembly, or sub-assemblies will often be manufactured in the lowest regional cost area. These assumptions affect both the assumed costs of manually manufactured elements (based on relative local skilled and semi-skilled labor rates), and auto-inserted device (such as surface mount components on PCBs). These labor rate assumptions are outlined in the Overview section of the online presentation or the COO Notes tab from the Excel spreadsheet analysis.
Our total production volume assumption used here (500K units over phone life) may not be highly market accurate from a marketing point of view, however, it is used here for the purpose of estimating the amortization of certain test set-up costs and other NRE charges for such things as injection molding tools for the enclosures, etc.
Although this assumption affects the bottom line, changes in the quantity assumption generally produce a very small total cost variance, as typically in quantities of several hundred thousand and up, amortized NRE costs are usually quite small on a per unit basis.
This phone uses the baseband and RF portions of the Philips ""Nexperia" reference design/chipset, but not the power amp or charge management parts. This is a similar solution to the Samsung SGH-E100 phone previously analyzed.
We've seen the Philips PCF5060x power management parts quite a bit recently, but this isonly the second phone we've seen Philips in baseband and RF (the other being, again, the Samsung SGH-E100). Instead of the Philips charge management IC, this phone uses a Semtech part.
The ever-present Yamaha FM sound generator IC is once again used here.
- DBB - Philips Semiconductor - OM6357EL/3C3/5A
- Power Management IC - Philips Semiconductor - PCF50601E
- Battery Charge Control and Protection - Semtech - SC801IMLTR
- Samsung - KBB06A300M - MCP - 128Mb NOR Flash, 128Mb NAND Flash, 32Mb UtRAM
- RF Transceiver - Philips - UAA3536
- PAM - RF Micro Devices - RF3140
- Image Processor - Mtekvision - MV317
- FM Sound Synthesizer - Yamaha - YMU762C
- 1.6 Inch diagonal Color CSTN ('UFB' Samsung technology - which seems like hype for a standard STN LCD display), 128 x 128 Pixel - Samsung assumed source - Fairly low end in current market.
- VGA/CMOS Module - Manufacturer Unknown - Clever LED flash arrangement - 4 LED formation in 'ring' around camera.