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The Dirty Mobile Phone Industry | Investigative Documentary

The Hidden Costs of Our Mobile Phones

The Hidden Costs of Our Mobile Phones

Synopsis: A mobile phone is sold every 57 seconds, meaning that there are now more mobile phones on the planet than toothbrushes. We investigated the shameful secrets of the multinationals that produce our mobile phones. They are the big winners of the mobile revolution as their profits explode, but what is the human and environmental cost in the production countries of China and the Congo? We bring exclusive footage from inside Chinese factories, where scores of children are working long hours under arduous conditions. The multinationals claim they are doing all they can, but these shocking images say otherwise. In Africa, the mines that retrieve minerals essential to the components of our smartphones are dangerous and unregulated. Injuries and deaths occur regularly amongst workers just desperate to support their families. While in China, the environmental damage has scarred the landscape, emptied a village, and possibly caused severe illness among the population.

Our relationship with mobile phones has transformed dramatically over the past two decades. Today, we glance at our phones an average of 150 times per day. These devices have become more than just companions; they are virtually our new religion. Across the globe, 57 mobile phones are sold every second, totaling 1.8 billion per year. Remarkably, there are more mobile phones in the world than toothbrushes. The big winners in this revolution are the mobile phone multinationals like Apple, Nokia, Samsung, LG, Sony, Huawei, and HTC.

Behind the Scenes: Manufacturing Realities

We embarked on a year-long investigation to understand how our phones are manufactured and under what conditions. Our findings were chilling. In China, we worked undercover in a factory, discovering that dozens of children were among the workforce. Tracing back to the raw materials, we found that men die to supply our phones with essential minerals. For instance, in one mine, five people die every month on average.

The Profit Margin and Labor Costs

We looked at manufacturing reports and found stark discrepancies between production costs and retail prices. For example, the Samsung Galaxy S4 yields a profit margin of €37, while Apple's iPhone 5S brings in €340 per unit, not including marketing costs. Shockingly, these brands spend only €2.38 on labor costs per phone, meaning Chinese workers earn barely enough to buy a couple of loaves of bread, despite the high prices we pay for these devices.

Uncovering Child Labor

Seeking transparency from major brands about their supply chains yielded no responses, so we investigated further. We discovered that a factory in Nanchang, China, employing more than 100 children under the age of 16, supplies screens to major smartphone brands. The conditions in these factories are abysmal, with children working night shifts for up to 13 hours and earning just €160 per month.

Raw Material Sourcing and Human Cost

Our investigation extended to the Democratic Republic of Congo, where miners extract tantalum, a critical component for smartphones. In Rubaya, North Kivu, we witnessed extreme poverty and hazardous working conditions. Miners, including children, work in perilous tunnels for meager wages. Despite regulations prohibiting child labor, we found many underage workers risking their lives.

Corporate Responses and Accountability

Brands like Huawei and Alcatel OneTouch were notably unresponsive when confronted with evidence of child labor in their supply chains. Huawei provided a generic response, not even asking for the name of the offending factory. Meanwhile, brands like Samsung, despite facing multiple allegations of poor labor practices, continue to announce audits that often find no issues, mainly because subcontractors are warned in advance of inspections.

Environmental Impact: The Neodymium Mines

The environmental impact of smartphone production is another hidden cost. In Baotou, northern China, we found that the production of neodymium, a key component in phone magnets, has created a toxic wasteland. The largest neodymium mine discharges 600,000 tons of waste annually, resulting in a highly radioactive area. Villagers living near the waste dump suffer from severe health issues, with little choice but to consume contaminated water.

Conclusion

Our investigation reveals that the true cost of our mobile phones is far higher than their retail price. It includes the lives of miners, the childhoods lost in factories, and the environmental devastation left in the wake of resource extraction. As consumers, we must demand greater transparency and ethical practices from these multinational corporations to ensure that our technology does not come at the expense of human dignity and environmental sustainability.