Newbies really don't have it easy in the current smartphone market. The market is flooded with an incredible number of models and it is not easy to succeed. A subsidiary brand of Xiaomi, Pocophone, however, she was able to do that. When introducing your first smartphone, Pocophone F1, surprised the whole technological world, including competing manufacturers.
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The message of the brand Pocophone was from the beginning to bring a smartphone with Snapdragon 845 for a price under $ 300. And they succeeded. What is the secret of such a success, difficult for many to understand? website AndroidCentral managed to find out thanks to the brand director's answers Pocophone, Jai Mani.
Current prices Pocophone F1
During transport EU Priority Line you do not pay customs duties or VAT. The seller will arrange this for you.
Pocophone F1 Global 6 + 64 GB
Coupon: 4F164G
Dinner: 236 € / CZK 6101
take advantage of the discount
Pocophone F1 Global 6 + 128 GB
Coupon: 4F1BG869
Dinner: 266 € / CZK 6884
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Pocophone F1 India 6 + 128 GB
It works just like Global
Coupon: BGF1664
Dinner: 253,90 € / CZK 6562
take advantage of the discount
Conscious cost saving
It is understandable that the brand Pocophone would not have achieved such success without conscious cost savings. Jai Mani said his team initially wanted to incorporate gear AMOLED display, well, this idea had to finally refusebecause it would not be possible in terms of cost.
Another missing feature in Pocophone F1, it is NFC. Although its absence does not play a major role for most Slovaks and Czechs, this element is crucial for developed western countries such as England, where contactless payments are widespread. They also saved a lot on the choice of materials. Polycarbonate back cover it is much more accessible than metal or glass.
Xiaomi's strong supply chain
An even more important factor than conscious cost savings are for Pocophone strong supply chains, which was built by the parent company Xiaomi. Mani said that if Xiaomi didn't have such a big impact on suppliers, they would never failed to produce smartphone with Snapdragon 845 under $ 300.
Mark Pocophone was able to leverage Xiaomi's existing infrastructure to reduce R&D costs for its smartphone. Pocophone F1 uses for example the same IR face sensor for unlocking as Mi 8 - hence the very similar cutout in the display.
He also has same 12 MP IMX363 rear camera as in the Mi MIX 2S or 20 MPx front camera from the Xiaomi Mi 8. Thanks to the use of the same components, the brand managed to save a lot of time and resources when tuning the cameras for the device.
Another component saved by Xiaomi's advanced infrastructure is the Snapdragon 845 processor. Mani said Xiaomi is one of Qualcomm's largest customers for the Snapdragon 800 series chipsets, so the company was able to acquire large volume of processors for a "great" price.
The same goes for memories – Pocophone would not be able to offer LPDDR4X RAM or UFS 2.1 flash memory as standard, if not for Xiaomi's great influence.
The main components in terms of cost are RAM, memory module, display, processor and camera. Mani says these five components it makes up a huge chunk of the phone's price. Getting these components directly from Xiaomi has brought benefits for the company Pocophone huge cost savings. Otherwise they wouldn't be able to sell F1 at such a competitive price.
They also use service centers
Pocophone uses not only Xiaomi's logistics and distribution network, but also its own service centers - Mani stressed that thanks to that "We save a lot of money". Xiaomi has several thousand service centers all over the world (including in Slovakia and the Czech Republic) and customers of the brand Pocophone can access the same network for warranty service.
Love this teardown video of POCOPHONE F1, the true #MasterOfSpeed. How many individual screws can everyone find in this video? 🔥⚡️
RT and stand a chance to win F-codes for the amazing #POCOPHONEF1 Armored Edition! #GoPOCO @IndiaPOCO @PocophoneGlobal pic.twitter.com/0IHVBiTMrN
- Donovan Sung (@donovansung) September 3, 2018
All pieces Pocophone F1 are assembled in Xiaomi factories, which also makes a difference when we talk about production costs. Pocophone also adheres to Xiaomi's strategy - their profit on hardware does not exceed 5% margin.
Selling at near cost of production is the company Pocophone capable effectively undermine all other companies, which is a strategy that Xiaomi has worked very well. Therefore, it is unlikely that any other manufacturer would offer a smartphone with a Snapdragon 845 for less than $ 300.
