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Grimes said:

If Sony could make their phones or phone like devices so much cheaper than the competition, they why aren't they doing so right now? As it is, there phone division isn't all that profitable, nor are their phones any cheaper or more technologically advanced above the competition.

It's called selling at a large profit.  Apple set the precedent, everyone else just follows.  Why do you think service providers charge you a lot less for the phone if you sign up with them?  It's because they pay a lot less for them than you would if you payed MSRP.  They probably are only charged a little more than it costs Apple, Sony, etc. to manufacture them.