Mobile Devices

Pantech Breeze C520 Mobile Phone Teardown

30 September 2008
The following is an overview of a teardown analysis conducted by IHS Benchmarking.

Overview / Main Features

The Pantech C520 (a.k.a. AT&T Breeze) is a quad-band GSM/EDGE flip phone that is designed with simplicity in mind. Targeted at the last remaining wireless consumer "hold-out segment, namely the baby boomers, the Pantech mobile phone design addresses this demographic by offering large buttons on its keypad and equally large fonts on the display. A simplified user interface and experience is a sharp contrast to the increasing complex UI of contemporary mobile phones. Further, Pantech also added the convenience of 3 dedicated programmable speed dial buttons prominently located at the bottom of the primary display to meet the needs of how older wireless consumers use their phones.

Overall, the clamshell GSM world phone offers a 2.2 inch primary color display along with a VGA integrated camera and Bluetooth 2.0 +EDR. The on-board EDGE radio allows the Pantech to access data services such as email and wireless web. It is considered a mid to low end handset within AT&T's line up of handsets.

Pantech Breeze C520 Mobile Phone Main ImagePantech Breeze C520 Mobile Phone Main Image

Target Market

Baby boomers, seniors and consumers with preference for basic / ease of operation mobile phones.

Released

Per AT&T press releases, first release on May 27, 2008.

Pricing and Availability

Pricing - per AT&T, the retail price of the Pantech C520 is $199. Currently, AT&T offers activation subsidies which will

reduce the actual cost (with service) to about $50 [at time of writing August 2008].

Availability - exclusively AT&T (US)

Volume Estimations

For the purposes of this teardown analysis, we have assumed a lifetime production volume of 200,000 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 increment by an order of magnitude. Minor changes in volume (say 1 million vs. 2) rarely have a large net effect on our final analysis.

Pantech Breeze C520 Mobile Phone - Main PCB BottomPantech Breeze C520 Mobile Phone - Main PCB Bottom

iSuppli's Design Forecast Tool (DFT) and Market Shares

As part of iSuppli's Design Forecast Tool (DFT), we forecast handset shipments by major design feature and manufacture, as well as the number of design starts a manufacturer will have by feature set.

iSuppli estimates unit shipments of 323M GSM/EDGE handsets in 2008 global market. We further estimate 190M units of VGA camera phone shipment in 2008 global market. For the Pantech device specifically, iSuppli applied volume estimates based on a 2 year product life span assumption along with the corresponding global market share percentage for the manufacturer.

Pantech Breeze C520 Mobile Phone Cost AnalysisPantech Breeze C520 Mobile Phone Cost Analysis

Cost Notes

Main Cost Drivers Representing ~73% of total materials cost

Infineon - PMB8876 - DBB - Application / Digital Baseband Processor, Quad-Band GSM/GPRS/EDGE, ARM926 Core

Primary Display Module - 2.2' Diagonal, 262K Color TFT, 176 x 220 Pixels

Numonyx - RF385070M0Y0BE - MCP - 512Mb NOR Flash + 256Mb Mobile SDRAM, 1.8V

Battery - Li-ion, 3.7V, 950mAh

Camera Module Assembly Line Item - VGA CMOS, 1/7' Format, Fixed Lens

Korea Circuit Company - 8-Layer - FR4/RCF HDI, 2+4+2, Lead-Free

Infineon - PMB6812 - ABB - Analog Baseband / Power Management

Keypad Assembly - Injection Molded Clear Polycarbonate Keys, Silver/White Painted & Silkscreened, on Silicone Rubber Substrate, w/ Integral Stamped Metal Backing Plate

Secondary Display Module - 1.04' Diagonal, 65K Color STN, 96 x 96 Pixels

Infineon - PMB6272 - RF Transceiver - Quad-Band GSM/GPRS/EDGE

Pantech - PTA-5070C9US - AC/DC Adapter - 5V, 700mA

LED - High Intensity Blue (Qty:20)

FEM - Quad-Band GSM Antenna Switch and SAW Filters, Contains 2 Murata Dual-Band GSM RX SAW Filters & 3 Pin Diodes

Infineon - PMB8753J - Bluetooth - Single Chip Solution, V2.0+EDR

Skyworks - SKY77340 - PAM - Quad-Band GSM/GPRS/EDGE

Materials and Manufacturing $61.07

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.

Manufacturing Notes

OEM/ODM/EMS Relationships / Manufacturing

Pantech is a Korean-based handset manufacturer that is well known as an ODM for tier-one CDMA handset manufacturers such as Motorola and Nokia. More recently, Pantech has pursued a private-labeled handset strategy producing devices for carriers such as AT&T.

Based on our knowledge, Pantech operates 3 global manufacturing facilities in Dalian (China), Gimpo (Korea) and Sao Paulo (Brazil) as of 2006. The C520 most likely is an in-house manufactured device by Pantech.

Country of Origin / Volume Assumptions

Based on markings, the unit was assembled in China. Furthermore, we have assumed that custom mechanicals (plastics, metals, etc.) were also sourced in China.

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 the displays), 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 pin-count of the device. This calculation is affected by country or region of origin as well.

Pantech Breeze C520 Mobile Phone - Enclosure DisassemblyPantech Breeze C520 Mobile Phone - Enclosure Disassembly

Design for Manufacturing / Device Complexity

Most of the phones we have seen that are either clamshell or 'slider' have higher components counts due to additional mechanical and electro-mechanical complexity owing to the 'splitting' of the design into two 'halves'.

In the case of the Pantech Breeze C520, this device has a total component count of 506 of which 54 are mechanical. This puts the Pantech device in-line with competing models of similar functionality in the clamshell form factor.

The number of mechanical components usually is a direct driver of hand-assembly costs, whereas the electronic component counts (and I/O count, density, etc.) are relative metrics for the more automated portion (namely SMT assembly) of manufacturing costs.

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 China.

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.

Design Notes

Main PCB

Analog Baseband / Power Management

  • ABB - Infineon - PMB6812 - Analog Baseband / Power Management

Digital Baseband

  • DBB - Infineon - PMB8876 - Application / Digital Baseband Processor, Quad-Band GSM/GPRS/EDGE, ARM926 Core, 130nm

RF Transceiver

  • RF Transceiver - Infineon - PMB6272 - Quad-Band GSM/GPRS/EDGE

Memory

  • MCP - Numonyx - RF385070M0Y0BE - 512Mb NOR + 256Mb Mobile SDRAM, 1.8V

Power Amplifier

  • PAM - SKY77340 - Quad-Band GSM/GPRS/EDGE

User Interface

  • Bluetooth - Infineon - PMB8753J - Single Chip Solution, V2.0+EDR

Display

  • Primary Display - 262K Color TFT, 176 x 220 Pixels, 34.8mm x 43.6mm Display Area
  • Secondary Display - 65K Color STN, 96 x 96 Pixels, 18.9mm x 18.9mm Display Area

Camera

  • Camera Module - VGA CMOS, 1/7" Format, Fixed Lens

"

Pantech Breeze C520 Mobile Phone - Box ContentsPantech Breeze C520 Mobile Phone - Box Contents



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