From my knowledge of the phone industry, and one of out past client's venture into it, the minimal viable budget for a cellphone project is $1M these days on the low side.
- MOQs of all truly essential assemblies are huge: high-end PCBs, custom made camera modules, custom cut LCD/OLED cells, antenna-body integrated assemblies
- RnD is long and torturous, even without Android atrocity: RF-tuning for high perf wireless, tiny high density PCBs development, lots of prototyping for bodywork and LCD assemblies
- SCM challenges are monumental even for factories in South China: constant shortages and high lead times of speciality passives, time spent waiting for parts, while burning money, logistics to and from module integrators...
Smartphones are becoming like jet engines: while parts count in general go down per unit of functionality, and they become simpler for non-IC parts of the design, very few can make them competitively as the supply chain gets longer, and 3rd parties are now taking bigger and bigger cuts with each year.