Thew fact that flagship phones get more expensive every year is not a secret anymore. With newer features, innovations in hardware, and better mechanisms for existing technologies, building a flagship (and owning one) costs a lot than it did a few years ago. However, Chinese companies like Xiaomi somehow managed to churn out flagship-level devices at affordable price points. We saw that begin to change with the Mi 10 series this year, and the Redmi K30 Pro. However, a new report suggests that this same trend will continue next year as well.

The prime reason flagship phones from pretty much every brand have seen a hike in prices is the new Qualcomm Snapdragon 865 SoC used in them. The chipset itself costs a lot more than its predecessors like the recent Snapdragon 855 Plus. One likely reason for the increasing price was the inclusion of the 5G modem that comes built into the chipset. We could expect the same from the upcoming Snapdragon 875 chip.

Watch: Xiaomi Mi 10 5G Review

Moreover, the Snapdragon 865 also took up a lot of space due to its requirement of a large size. This also made the phones bigger, increasing the size of screens and other components. Larger screens also needed bigger batteries. The costs of these parts also add up to the phone’s total pricing.

As per a report by GizChina, an order document by Xiaomi has revealed that the pricing of the Qualcomm Snapdragon 875 SoC will be about USD 250 (about Rs 18,907), which is even more than the pricing of entire mid-range phones in India. In fact, this is about USD 100 more than the cost of the Snapdragon 865 chip. The price includes the price of the processor itself and the Snapdragon X60 5G modem.

With the bump in price, expect 2021 flagships to also be about USD 100 more expensive than the ones this year. With other hardware improvements, the premium could be even higher. Xiaomi’s Mi 11 series may be affected by the new pricing, and the same could be expected from what could be the Redmi K40 Pro. Needless to say, other brands that rely on Snapdragon processors will also be affected, including OnePlus, Samsung, Oppo, and others.

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