Rant on! Apple and Samsung have both re-tuned their warranties and extended warranty plans for their new phones. Depending on how you acquire them, these phones can run from $700 to $1200 to “included in your contract”. However, replacing a lost phone can give you a pretty good idea of the actual cost of the phone ($799 for a Samsung A21). It is clear that both companies have their eye on maximizing profit from these products as they have made it more cost-effective to forgo the extended warranty & replacement plans in favor of simply replacing the product with a newer model.
This is just the tip of the iceberg as they have increased the cost of repairing a damaged phone to the point where replacement is often more attractive than repair. For Apple, the $15 batteries can be replaced for $70 + $7 shipping, and expect it to take 3-5 days to get to Apple and a similar 3-5 days to come back. For Samsung, I haven’t found any real numbers yet for the battery or cost to have it replaced; but, I expect more than $50 for the battery and another $40 or more labor. Why are these procedures so expensive? The batteries are glued in and removal is non-trivial as is the proper installation of the new battery. Fortunately, Samsung has arranged for a lot more sites to be authorized for the replacement and other minor repairs so you may not have to wait a week to get your phone back, depending on where you live.
Still, the cost of common repairs ($249 for an iPhone12 screen + labor) on these new families of products are a significant percentage of the cost to replace the device. And, if you read the list of exclusions in the warranties and extended warranty plans, you can easily pay 30% or 40% of the cost to replace to extend a warranty that may not cover most of the anticipated issues. Given that we see new improved models every 6 months to a year and the rate at which the new rapid charge batteries decay, how badly do you want to pay that much to get your phone repaired?
Okay so Rant off (on our ever increasingly disposable world)!
Even with the foregoing, there are situations when the extended warranty and replacement plans can be cost-effective. If the device will be used in dangerous (for it) environments or by someone who will not take care of it, replacement plans can be attractive. For the rest of us, a screen protector and case are probably a better investment with an eye to replacing the device after 2 years of use. Along these same lines, you can choose devices that are water proof and made to survive considerable rough treatment. There are still some firms that will water proof many of the standard models if that is a risk for your device.
I am careful to choose phone models that have user-replaceable batteries and user-upgradeable memory because I have a history of keeping my phones for 4 years or longer.