Cost of 4G LTE devices to drop significantly next year

mobile

As much as smartphone, mobile hotspot and connected notebook users love the blazing fast speeds afforded by 4G LTE service, it’s tough to be an early adopter when new devices carry such a premium. Verizon Wireless’ latest 4G phone, the DROID Charge, hit the market at a jaw dropping $300 on contract, for example. According to a report from DigiTimes on Thursday, devices with embedded 4G LTE radios are about to get significantly less expensive. With various chipset vendors set to begin mass production of new single-mode LTE chips later this year and Qualcomm preparing production of its multi-mode LTE chips in the first half next year, prices are expected to drop substantially in the second half of 2012. The new components are expected to decrease the cost of LTE network interface cards by 50% or more, and those savings will hopefully trickle across a variety of 4G LTE-enabled end user products quickly.

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11 Comments
  • JMB98115

    When desktop CPU prices drop by 25%, the (substanially-same) complete system’s price doesn’t change.

    • Neal

      That’s because the processor goes down a model in the product line, and a better one takes its place. It’s ridiculous to claim that PC prices haven’t fallen by absurd amounts over the last few decades. Prices have fallen and performance has gone up. Our current problem is that high end smartphone prices are ballooning because expensive plans can make them seem affordable with fake subsidies. I think you get a decent value, though, and I do expect prices to start falling again soon.

    • Zukidrvr

      Using BGR logic, they must be failing miserably, therefore the price cut.

  • Bullet Tooth Tony

    And I bet the cost-savings will be passed along to the consumer…

    …Yeah, not gonna happen.

    • http://pulse.yahoo.com/_Z4FCAGKM2PQW73OZFR7PO3IO3E AndrewJ5267

      As long as you sign up for that 2 year contract, the savings will be passed along alright – embedded into your ‘required’ plan.

  • http://AndroidTaskForce.com Chris Gustafson

    Most importantly, these new modems will bring much better battery life than what you currently see on LTE phones

  • http://www.facebook.com/people/Ryan-Rife/665329365 Ryan Rife

    So by the cost dropping you mean for the carrier, not the consumer….we seem to pay $199 regardless of what the device is.

  • userofphones

    A little birdy told me that the price of an LTE phone will drop sharply in the next couple of weeks. Keep your eyes (and your mind) open in the next couple of weeks for an LTE announcement from Verizon.

  • WoW

    “Verizon Wireless’ latest 4G phone, the DROID Charge, hit the market at a jaw dropping $300 on contract, for example.”

    Why does BGR insist on using language like this for a non-apple product when the 32 GB iPhone is the same price?  I don’t get it.  The Charge offers more in the spec department yet you don’t see anyone say that the iPhone prices are too high.

  • Anonymous

    I’m confused, the Droid Charge and the HTC Thunderbolt are already one penny..That’s pretty much free…how much cheaper do you think phone will go?

  • Akshun

    Omg. Phones follow the product life cycle too?!?!

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