For nobody is a secret that the price of smartphones in the last 5 years has been increasing significantly, especially the high-end, this increase does not necessarily represent a drastic change within the features and benefits of the devices compared to the previous generation, which would justify the price increase.

This phenomenon of increase in price, has been continuously challenged by the technology community in general, arguing that the unexplained increase of prices attached to the planned obsolescence that is present in the vast majority of companies of mobile devices makes it increasingly less accessible cell phones, and more when you talk about countries with a lower level of acquisition, not affecting both first-world countries.

The shortest explanation, about why the price increase, is that companies are looking more and more to increase the profit margin, which sooner or later will be reflected in a price increase for the final consumer.

However, the most extensive explanation, which will allow us to understand this trend in depth, is divided into the following factors:

"Better performance"

From the iPhone X (2017) to the last one released at the time of this writing (iPhone 12) they have all worn the exact same front design.

Year after year, companies justify the increase in the price of their phones with supposed notable improvements in the day to day, marking a "sharp" difference between having it and not (but that, at the moment of truth, could go unnoticed by most users), and that the increase was necessary to maintain the business profitability of the product.

However, the reality is that, although if there are improvements year after year (if not, it would not make sense to launch a new device) they are generally performance improvements (always 10 or 15% more) with a renewed design and polishing possible details of the previous generation.

Unnecessary features

Wireless charging and IP certification are features that may be considered unnecessary for proper use of the phone.

Year after year new functions and features have been appearing for phones, which seek to make the use of the cell phone more functional or comfortable, these features, such as wireless charging or IP certification (ingress protection) are features present in most high-end phones, but that in most users would be basically redundant and do not provide a solution to a really existing problem.

Higher profits

Xiaomi has been a company that has standardized the value for money on devices, but this has been increasing the price on its high-end devices, having almost the same as any high-end competition.

The main objective of a company, regardless of the area where it develops, is, has been and will always be to make money, since, if it does not, its operation does not make sense, and if it does it in excess, it will be incompetent with respect to the rest of competitors.

That is why companies, especially those of technology bet on a fairly functional marketing strategy, offer products at very competitive prices and gradually go up to reach a functional price in economic terms for the company, and this translates directly into a higher charge to the wallet of the final consumer.

Less technological evolution

The Samsung Galaxy Fold has been a complete technological marvel, betting on a folding screen technology, but that carries an exaggerated price(3000$)

Currently, technology has reached a point where to achieve a substantial improvement in any aspect, a much greater investment is necessary, and in the end, it will not be profitable, neither for the company nor for the final consumer.

This is why experimental smartphones with revolutionary and unique features, are usually much more expensive (examples of this are the Fold family of Samsung, or the Mi Mix family, in the case of Xiaomi) than the average.

Manufacturing difficulty

Today, companies such as AMD, Qualcomm, Nvidia, Mediatek and even Intel use TSMC's photolithographic casting processes for their processors.

Although greater competition in the market usually means a drop in prices due to the greater supply, in the technological field it does not always work the same, especially when there are microchips intervening.

There are currently 2 major foundries fotolitográficas where they are manufactured microchips (processors) for any device that requires it (computers, smartphones, and basically anything that has a digital process) that are Intel and TSMC, the first, you use your cast iron only for its microchips, while the second is divided between the rest of the market, and a greater demand often means a glut of their plants, being able to produce a shortage in the worst case.

In conclusion, all these factors together have caused that year after year the price of high-end cell phones is increasing, creating a vacuum, currently filled with the creation of a new range of devices, popularly known as mid-high-end cell phones, in which the price is significantly reduced together with all the redundant and necessary specifications.