How Much Does It Cost to Produce a Samsung Chromebook?

How much does that Samsung Chromebook really cost? According to an iSuppli teardown, the device’s bill of materials comes to $322.12.

With the manufacturing cost throw in, the Chromebook costs $334.32 to produce. Despite Google’s emphasis on the software, meanwhile, iSuppli finds that it’s the hardware that really makes the Chromebook sing.

“As much as Google would like to de-emphasize the role of user hardware, it is the hardware, in fact, that defines the Chromebook and will determine the success of the platform,” Wayne Lam, a senior analyst at IHS, said in a statement.

The Chromebook includes “some advanced hardware features not typically found in low-cost notebooks,” iSuppli said.

The motherboard is the most expensive part of Samsung’s Chromebook, at $86.37, or 26 percent of the total bill of materials. The motherboard includes a 2GB Double Data Rate 3 (DDR) SDRAM, as well as a dual-core Intel Atom N570 processor and a Trusted Platform Module (TPM) for computing security from Infineon Technologies, which is most commonly found on enterprise-level computers, iSuppli said.

The second most-expensive component is the 12.1-inch, 1,280-by-800 display from Samsung, which costs $58, or 17.5 percent of the total.

The Samsung battery pack, meanwhile, is $48.20. The Chromebook packs a 7.4-bolt lithium ion polymer battery from Samsung SDI, which takes up nearly two-thirds of the Chromebook volume.

In the same price range is the 3G module from Hon Hai, which costs $42.85. ISuppli said Samsung cut down on costs by using an older Gobi 2000 baseband platform from Qualcomm.

Other components and their cost include:

Mechanicals and enclosures (keyboard and touchpad assembly): $40.45

16GB solid state disk (SSD) for storage from SanDisk: $28

Peripheral printed circuit board (with Wi-Fi and PC camera modules): $17.85

Box contents (including AC power adapter and other accessories): $10.40

The report notes that the cost only covers hardware and does not factor in other expenses, like manufacturing software, licensing, and royalties.

Full Story Via PC Magazine