The real 'Made in USA' phone

With some components made in the US, Liberty Phone has low configuration, does not run Android and costs 2,000 USD.

The front of the Liberty Phone. Photo: Purism .

The Liberty Phone is a smartphone developed by Purism. According to founder Todd Weaver, this is the device that most closely resembles President Donald Trump's "Made in the USA" dream.

Despite its shortcomings, including low specs and high price, the Liberty Phone offers a realistic view of smartphones made in the US. The device also reflects why big companies are reluctant to pursue the strategy despite Mr. Trump's constant invitations and even threats of tariffs.

Limitations of manufacturing in the US

Since announcing the tariffs in early April, Mr. Trump has repeatedly called on companies like Apple to move iPhone production back to the U.S. Even the Trump Organization launched the T1, a $500 phone that was advertised as “made in the U.S.”, though that claim was quickly removed.

Supply chain analysts say that the US currently cannot compare with Asia in terms of the quality and scale of smartphone production lines. However, Liberty Phone still exists with some components manufactured in the US.

According to WSJ , the Liberty Phone's motherboard is developed by Purism itself, the processor chip is manufactured in Texas and the assembly process takes place in California. Other components are imported from China and some Asian countries.

“I’ve been on a 10-year plan. We’re doing everything we can to build our operations in the U.S. There are still some parts that don’t have a domestic supply chain, and we’re going to continue to ramp up production until we get there,” Weaver said.

The Liberty Phone's motherboard is manufactured at Purism's factory in California. Photo: Purism .

Purism representatives said the company can produce about 10,000 Liberty Phones per month, but sales have so far been less than 100,000 units. For comparison, Apple will ship about 225 million iPhones in 2024, according to Canalys .

Liberty Phone also does not run Android or iOS, instead using Purism's self-developed PureOS operating system, which only supports calling, texting, web browsing and some pre-installed applications. The processor chip on the device is manufactured by the Dutch semiconductor company NXP in Texas, designed for cars, not smartphones.

The Liberty Phone’s display and battery come from China, while the rear camera is made in South Korea. Weaver stressed that it is not possible to manufacture all smartphone components in the US due to a lack of infrastructure. For example, there are no factories in the country that mass produce phone displays.

According to analysts, the above factors explain why Apple and other phone companies have not been able to move their high-end smartphone production lines to the US.

“Even with lower specs, it will still take many years for smartphone production to come entirely from the US.

“In addition to cost, we don’t have the factories to build application processors, high-end displays, or most of the components in smartphones,” said Jeff Fieldhack, research director at Counterpoint Research .

Why Apple Doesn't Make iPhones in the US

According to Weaver, the Liberty Phone costs around $650 to manufacture. For comparison, TechInsights estimates the cost of manufacturing the iPhone 16 Pro Max in China is around $550 .

To offset high labor costs in the US, Purism had to cut back on many parts on the Liberty Phone, such as a single-lens rear camera, a low-resolution screen, and half the RAM.

The company says the Liberty Phone does not compete with the iPhone. According to Weaver, the $2,000 retail price provides a phone with a secure, standardized supply chain. About half of Purism’s customers are U.S. government agencies.

“For consumers, we cater to people who value privacy, parents who want phones for their kids, seniors, or customers who don’t like Big Tech. People who need super-powerful cameras are not our customers,” Weaver said.

Some of the Liberty Phone's components and assembly take place in the US. Photo: Purism .

The company representative estimates that in the next six months, he can scale up production to 100,000 devices per month. To achieve that, the company needs to invest in machinery, operating staff, and factory space. Purism does not use venture capital, relying solely on revenue and crowdfunding.

For now, tariffs have not affected production costs because Purism has ordered a large number of components. The founder asserts that in the long run, tariffs could make the Liberty Phone more competitive in terms of production costs because the cost of cheap components will only increase slightly, while some components could soon be produced domestically.

However, unlike Purism, analyst Jeff Fieldhack believes that large companies still do not have enough reasons to move the majority of their production to the US.

“Many of the factors do not come from advanced technology, but rather high costs and still take a long time,” an analyst from Counterpoint Research emphasized.

Source: https://znews.vn/day-moi-la-smartphone-made-in-the-usa-thuc-thu-post1564200.html