Expensive Android smartphones: Samsung, Xiaomi and Co. have screwed up the price screw

Expensive Android smartphones: Samsung, Xiaomi and Co. have screwed up the price screw

Prices of over 1,000 euros are not uncommon: Android smartphones have become more and more expensive in recent years. But how is the price development received by customers? According to market researchers, Samsung, Xiaomi and Co. are clearly on the wrong track.

Samsung is letting the new Galaxy S22 Ultra cost a whopping 1,250 euros – at least. If you upgrade the memory to 1 TB, you even have to shell out 1,650 euros. Samsung's latest flagship is thus the latest example of an oppressive development in which the prices for Android smartphones continue to rise. This is now met with resistance from customers.

Sales of expensive Android smartphones are declining

According to market researchers from Canalys, manufacturers of Android smartphones are finding it increasingly difficult to sell devices in the price segment of US$800 and up. Compared to 2019, sales fell by 18 percent (source: Canalys). On the other hand, things are quite different for Apple: The US group was able to increase its iPhone sales in the premium segment by 68 percent .

For Samsung, Xiaomi and other industry giants from the Android camp, these numbers must be an alarm signal. They are on the wrong track with their high-price strategy. While iPhone buyers like to dig deeper into their pockets, buyers of Android smartphones are apparently less and less willing to plunder their accounts for a new device . This should also have something to do with the strong competition that exists in the Android sector. Manufacturers such as Realme are putting a lot of pressure on the established competition and are thus fighting for market shares.

Expensive, but also good: the Samsung Galaxy S22 Ultra.

Foldable smartphones the lifeline?

Canalys sees a possible lifeline in folding smartphones. The market researchers confirm that the still young product category has great future potential and sales of over 30 million devices in 2024 . In the past year, sales amounted to 8.9 million devices. The main driver was Samsung with the launch of the Galaxy Z Fold 3 and Galaxy Z Flip 3.

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