Smartphone startup Unplugged is taking a big step this fall by starting assembly of its privacy-focused UP Phone in Nevada. The shift marks a move toward onshore production, aligning with the Trump administration’s call for stronger domestic manufacturing.
Moving Production to the U.S.
CEO Joe Weil, a former Apple executive, told Reuters that the goal is to keep the UP Phone priced under $1,000, even with higher U.S. labor costs. At present, the phone is made in Indonesia and retails for $989.
Weil explained that the first phase will focus on assembly, with plans to gradually expand into component sourcing. After weighing different options, Unplugged partnered with a refurbisher-turned-assembler instead of a traditional lean manufacturer.
Costs and Secrecy Around Production
While the company has revealed its plans, it’s holding back on details such as how many units will be assembled in Nevada, or the name of its partner. Likewise, Unplugged hasn’t shared information about its backers or funding amount.
Analysts point out that producing smartphones in the U.S. is far more expensive than in Asia due to supply chain concentration and labor costs. Even so, Donald Trump has repeatedly pushed companies, including Apple, to build more devices locally by using tariffs and policy pressure.
New Approach to Production
Instead of rolling out a new model every year, Unplugged plans to manage expenses by making the UP Phone in smaller, steady batch production runs. This strategy could help avoid some of the steep costs tied to large-scale U.S. assembly.
Features of the Latest UP Phone
The newest UP Phone, set to ship in September, comes bundled with one year of access to Unplugged’s software suite. This includes firewall-based tracker blocking, a VPN, and encrypted photo storage. After the free year, the subscription will continue at $12.99 per month.
Hardware remains unchanged from the 2024 version, but the software brings a fresh interface, a firewall dashboard, and improved camera performance.
Competition From Trump Mobile
The market could soon see more U.S.-built smartphones. Trump Mobile, a cellular service and smartphone venture licensing the former president’s brand, has also revealed plans to assemble its debut T1 handset in the U.S.