Experts question claim gold phone can be made in US

Experts have questioned the statement of the Trump organization that its proposed smartphone can be made from American components.

An industry analyst told the BBC that it would be “practically impossible” for the golden colored handset – which will sell $ 499 (£ 367.50) – to be built in the United States.

Questions have also been raised on the ethics of what is the last in a series of attempts to take advantage of President Donald Trump’s name.

“It is incredible that the Trump family has created another way for President Trump to take advantage of his duties,” said Meghan Faulkner, communications director for Citizens for Responsibility and Ethics in Washington.

The phone will also be accompanied by a mobile telephony service with monthly costs of $ 47.45.

The figure is a reference to Trump serving 47th and 45th president of the country.

Trump said he had put his business interests in a trust, which is managed by his children. The White House argued that it acts in the interest of all Americans.

But Faulkner said that the last company had raised familiar problems, especially if the new company will gain customers of people hoping to influence Trump and how the president will develop policies and regulations for an industry in which his family now has a participation.

The Trump family has not said which company would make their phone in the United States.

“Finally, all phones can be built in the United States of America,” said Eric Trump on the podcast of “The Benny Show” on Monday-suggesting that the phones published in August may not be fully manufactured in the country.

Technology experts have asked for what the claim of the Trump organization “Built the United” means on its handsets and argued that it is probably not currently possible to make smartphones from zero in the United States.

“They do not even have a work prototype. It is extremely improbable,” said Professor Tinglong Dai, who teaches operations management at the Carey business school in Johns Hopkins.

“You should have a miracle. You would need to save scale. You would need to have a lasting request for this type of product,” added Professor Dai.

The decision comes as Trump tries to put pressure on Apple CEO, Tim Cook, to make iPhones sold to American buyers in the United States.

Last month, the president threat To place an import tax of 25% “at least” on unpaid iPhones in America.

CCS Insight Leo Gebbie analyst noted that the United States “did not currently have the high-tech supply chain” required for the assembly of smartphones, especially not in time to be released in August, as the Trump organization said.

“However, the device may be assembled in the United States with parts imported from abroad. It could be the most likely result that allows T1 to claim American sovereignty,” said Gebbie.

The announcement was a slight development, including the name of the trading partner who will perform the service and dismiss the name.

The Trump organization did not immediately answer BBC questions about its trading partner, criticism around potential ethics and a request for details on its claim “built in the United States”.

By announcing his plans, he declared that “the Americans who work hard deserve an affordable wireless service, reflect their values ​​and offer a reliable quality on which they can count”.

He presented an international call policy “at a reduced price” to families with members serving outside the United States in the army.

The announcement indicates that the mobile service would have customer support staff based in the United States to answer questions, as well as the golden phone, which is currently available in pre-order.

The agreement is an extension of a commercial strategy that Trump adopted well before his presidency, concluding agreements to sell his name to hoteliers and golf course operators in exchange for fees and fees.

But the opportunities to take advantage of your brand have been widely widened since it entered politics a decade ago.

In his latest financial disclosure, Trump reported having earned more than $ 600 million last year, including millions of articles such as Trump brand Bibles, looks at sneakers and perfumes.

Forbes, in March, estimated that its net value was $ 5.1 billion, more than double what it was a year earlier.

He said that the strong increase was due in part to the president’s “disclosure”, which is credited with having helped support the value of Trump’s social media society which manages the Truth social platform, which represented about half of its wealth last year.

The idea of ​​a smartphone linked to Trump received an online mixed reaction with some people ready to buy it and others mocking the concept.

“Where should I queue to buy the new Trump phone?” An X user wrote.

Others have laughed at the design and had fun with the man’s telephone habits that she bears the name, asking if sms on the new handset will all be in capital letters.

In the United States, the mobile phones market is currently dominated by three major players: AT&T, Verizon and T-Mobile, which all offer telephone service from less than $ 40 per month.

There are also an increasing number of small businesses that pay to use these networks to target niche groups of potential customers, by offering lower prices or custom plans.

The largest of these companies, known as suppliers of mobile virtual networks, has less than 10 million subscribers, according to a 2024 report by the Federal Communications Commission.

Mint Mobile, supported by Hollywood star, Ryan Reynolds, was sold to T-Mobile for $ 1.35 billion in 2023. At the time, an analyst estimated that the service had about two to three million subscribers.

The actor had a 25% participation in the company, giving him a potential payment of around $ 300 million.