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It's time to move on, the corporation considers



Samsung feels the mounting pressure from increasingly competitive market



New and old Chinese brands are competing with Samsung



08.Jan.21 1:55 PM
By Abigail Richards
Photo Samsung

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Samsung feels the mounting pressure from increasingly competitive market
In the fourth quarter, Samsung's electronics company noticed that Apple has launched its new iPhones. Samsung was also disturbed by the fact that Chinese telephone makers did a great deal of work to take over the market share of Huawei, considered suspect in many countries. The South Korean company shipped less of its aircraft than Apple and Huawei and its profits were lower than those expected by analysts.

The new iPhones were the first to be ready for the new, faster 5G network. Previously, Samsung took advantage of the fact that Apple had not yet operated that market. The Korean company sold an estimated 41 million smartphones without that advantage, while Apple sold 52 million. Huawei remains the largest smartphones in the world with 80 million sold, but mostly within China. Brands such as Xiaomi, Vivo and Oppo are now also strong competitors.

Under pressure from increased competition, Samsung has moved the introduction of his new top phone, the Galaxy S21, to next week. Normally, the Galaxy devices were not proposed until March.

The branch that makes memory chips also performed less than earlier in the year. Then Huawei ordered the necessary chips as a matter of urgency after it could no longer obtain them from companies in the United States due to American sanctions. In addition, the price of memory chips decreased because the demand for servers decreased slightly and also the relatively expensive won pressed Samsung's profits.

Samsung's operating profit came to 9 billion won, converted to about 6.7 billion euros. That is a quarter more than in the same quarter of 2019, but a quarter less than in the third period of last year. The turnover was 61 trillion won, which was an annual increase of 1.9 percent.

Later this month, Samsung comes with final results. Then it gives a more detailed insight into how the different divisions have performed.



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