Samsung Electronics Co., Ltd., Changing its Strategy for Mid-range and Low-end Phones

https://korean-electronics.com//inquirySamsung Electronics plans to modify its midrange and low-end smartphone strategy, preloading the advanced technology on the mid-range and low-end smartphone including the Galaxy A series and expanding the release of new models.

This means Samsung will apply radical reform and innovation in all fields of smartphone including production, technology development and marketing, and significant changes in strategy of Samsung’s smartphone are thus expected.

Koh Dongjin, President of Samsung’s IT & Mobile Business, said in an interview with CNBC of the United States, “We plan to show new technology and differentiated products starting from the midrange and low-end smartphones. We will introduce mid-range and lower-end smartphones broader than existing ones by working out a new strategy.” President Koh announced that he would apply a mid-range and low-end smartphone strategy different from the conventional one even after the release of Galaxy Note 9 last month.

Samsung’s plan is based on the phenomenon that the premium smartphone market remains sluggish, such as the prolonged flagship model replacement cycle, while the demand for mid-range and low-end phones is growing, particularly in emerging markets. In addition, it seems that Samsung has a willingness to pre-empt the Chinese makers, such as Huawei, Xiaomi, Oppo, Vivo, etc., from expanding their positions in the market of mid-range and low-end phones.
Samsung Electronics has loaded the cutting-edge technologies to its mid-range and low-end smartphones like the Galaxy A series and plans to release new products incorporated with such technologies within the year. In the past, Samsung introduced new technologies to premium smartphones and then expanded them to mid-range and low-end products. However, it will now apply the ‘differentiated technologies’ to the midrange and low-end phones.

As the first case of applying the ‘two-track strategy of new technologies’ to its Galaxy smartphones, Samsung Electronics is expected to differentiate its core technologies by preloading the in-display fingerprint sensor to the Galaxy S10, and triple cameras to the Galaxy A (2019) series, respectively.

It is expected that supply expansion and product diversification of the midrange and low-end smartphone will soon move into high gear when Samsung releases the mid-range and low-end smartphones equipped with customized special functions by market.

In addition to modifying its mid-range and low-end phone strategy, Samsung Electronics has also made clear its target customers. President Koh said, “The strategy organization for mid-range and low-end smartphones will have a positive impact on targeting the millennium generation (the generation born in the 1980s to early 2000s).

Samsung’s plan is based on the awareness that it needs to differentiate itself with mid-range and low-end phones for the millennial generation which feels burdened in purchasing flagship smartphones. Samsung’s strategic move is to lead a potential premium audience from a long-term perspective.
Samsung Electronics intends to actively target the emerging markets with high demand, such as China, India, Latin America, Southeast Asia, etc., by increasing the differentiated mid-range and low-end smartphones. Samsung’s plan is to discover and lead new trends and demands.

In this context, Samsung Electronics reveals its determination to continuously compete with Apple in the premium smartphone market, while also competing with Chinese makers in the mid-range and low-end phone market.

CNBC and other foreign media evaluated that Samsung Electronics revised its mid-range and low-end phone strategy in order to cope with the sluggish global smartphone market.

They added that Samsung’s intention was to reorganize the structure with the ‘demand competition’ centered on mid-range and low-end smartphones, while avoiding ‘profit competition’ depending on the premium smartphones.

President Koh suggested that Samsung had prepared for a strategic change long before, saying “We made significant changes in our mobile R&D organization earlier this year before modifying the strategy on mid-range and low-end smartphones.”

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Samsung Electronics Releases ‘Galaxy Tab S4’

https://korean-electronics.com//inquiry[INQ. NO. 1810E01] Samsung Electronics recently announced the release of its Galaxy Tab S4 in the domestic market, which is a premium tablet that can be used together according to family members’ needs.
Galaxy Tab S4 is a ‘premium tablet’ which can be used according to the needs of each family member with new functions such as ‘Family Sharing,’ ‘Daily Board,’ ‘Samsung Dex,’ etc. as well as a powerful function optimized for highspec games.
‘Galaxy Tab S4 is equipped with 6GB of RAM, 10.5-inch super AMOLED display, a larger 7,300mAh battery and four speakers that provide optimal sound experience according to the direction of the screen for the first time in Galaxy tablets, so that users can enjoy high-spec games smoothly for a long time.
In addition, it supports ‘Samsung Dex’ which enables the user to work by displaying multiple windows on the screen like a PC for the first time among tablets. You can use ‘Samsung Dex’ on the quick panel without any separate accessory and enjoy the contents of Galaxy Tab S4 on a larger screen by connecting to a monitor or TV using HDMI adaptor.
In particular, Galaxy Tab S4 has such additional functions as ‘Family Sharing’ which enables you to share the photos of special moments with your family members in real time anytime, anywhere without space constraints and ‘Daily Board’ with which you can see the shared photos with ordinary information.
‘Galaxy Tab S4’ of LTE and WI-FI will be released in black and gray colors. The price is differentiated depending on the embedded memory capacity: The domestic price of the LTE model is KRW 880,000 (embedded memory of 64 GB) and KRW 990,000 (embedded memory of 256GB), and WI-FI model is KRW 792,000 (embedded memory of 64GB) and KRW 891,000 (embedded memory of 256GB), respectively.
A spokesperson for Samsung Electronics explained, “’Galaxy Tab S4’ is a premium tablet that meets diverse needs ranging from games, to work, study, and entertainment, as well as communication among family members. We hope you to experience a new mobile life with Galaxy Tab S4, which enables all family members to enjoy it according to each individual need.”are standard.

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Samsung Elec Pledges $116bn CAPEX in Korea over the Next Three Years

https://korean-electronics.com//inquirySamsung Group’s flagship Samsung Electronics on Wednesday pledged 180 trillion won ($160.7 billion) in capital expenditure – including 130 trillion won in Korea – in its mainstay semiconductor operation as well as new growths of artificial intelligence, automated and connected technologies, and bioengineering over the next three years to help create 700,000 jobs.
The ambitious plan including direct hiring of 40,000 comes as facility investment this year has been in the longest slump in 18 years while job additions are at their worst in a decade to prompt the liberal government known to be hostile toward chaebols to ask for more hiring and investment from the country’s richest and one of the world’s biggest technology companies.
“We have decided to boost new investment and hiring to help revitalize the economy and promote new industries,” the company said in a statement.
Of the total investment, 72 percent or 130 trillion won will be spent in the country, which will have the effect of creating up to 700,000 new jobs.
The spending would amount to 43 trillion won annually, about the same level of Samsung Electronics’ record 43.4 trillion won spending last year – which was the largest-ever annual spending for any publicly trading company in 2017 – after finishing its best-ever year due to the memory chip boom.


The bulk will go to uphold its competitive edge in chips and displays. About 25 trillion won will be spent on new growth areas of artificial intelligence, 5G connection, biopharmaceutical, and automotive electronics.
It will increase payroll by 40,000 over the next three years, nearly doubling from the original plan of 20,000 to 25,000.
The company also pledged to help create a socalled innovative ecosystem by sharing innovative capacity through training opportunities to 10,000 young job seekers over the next five years. It will sponsor 500 venture projects.
Samsung also plans to create a 110 billion won fund with the Ministry of SMEs and Startups over the next five years to help transform manufacturing facilities of 2,500 small and mid-size companies into smart ones and help them advance into other markets at home and abroad. This plan will help create about 15,000 new jobs.

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Samsung Electronics sees the rebirth of system semiconductors as a money-making player

Boosted by excellent performance of three major parts of system semiconductors, Samsung Electronics’ system LSI business is positioning itself as a moneymaking division, from a money-losing body. Last year, System LSI recorded around one trillion won ($881million) deficit, but this year it is expected to post at least 500 billion won profit.

An electronics industry source recently said that the major contributor to the revival is the Application Processor (AP), the core part of smartphones. As it again signed a cooperation deal with Apple and released the 14-nano FinFET AP, Samsung is expected to generate higher AP revenue from the first half of this year. The global electronics giant has succeeded in mass-producing mobile AP using 14-nm FinFET. Apple plans to incorporate the 14-nano FinFET technology in its iPhone7, scheduled to be released in October.

The abovementioned 14-nm refers to the 14 of one billion-thick meter semiconductor circuit. FinFET is the technology that accelerates the speed of the information process by making semiconductor devices a thirddimension structure. No others can compare with Samsung in this technology, placing it in the dominant position in the world. Qualcomm last year pulled in more than half of the sales in the global market worth $5.7 billion, with Samsung Electronics’ share accounting for 4.2 percent, according to a market research firm SA.

 
 
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S. Korean Companies’ Innovative Attempts for Sustainable Global Market Leadership Highly Noticeable

Korean Companies’ Innovative

South Korea logged a $8.13billion trade surplus in the information technology sector, coupled with steady growth in exports, as of August, this year, according to the data recently unveiled by the Ministry of Trade, Industry and Energy.

The ministry said, exports during the period gained 11.4 percent year-on-year to $14.5billion, sustaining an upward trend for the twelfth consecutive month.
Especially, exports of mobile phones, semiconductors and televisions grew more than 20 percent from the previous year. Vigorous sales of smartphones and components boosted outbound shipments of mobile phones.

The nation’s exports of semiconductors continued to see growth for the eleventh month in a row reaching a record value of $4.99billion. Outbound shipments of televisions jumped 40.7 percent to $880million on the back of robust sales of premium products such as smart TVs. Demand for ultra-high definition (UHD) TVs introduced in June also contributed to this gain. However, exports of display panels along with computers and related devices continued to show negative growth.
Although exports to Japan and the European Union declined, outbound shipments to the United States, the ASEAN region and China showed upward trends. While
exports of mobile phones and display panels to the European Union shrank, outbound shipments of European Union shrank, outbound shipments of televisions surged.
Meanwhile, IT imports rose 2.6 percent from a year earlier to $6.36billion. While demand for semiconductors, computers and related devices, printed circuit boards and mobile phones strengthened, imports of flat display panels decreased. Although imports from Japan, the United States and China declined, Taiwan, the ASEAN region and the European Union showed positive growth.
South Korean companies’ vigorous and innovative attempts for technological leadership in the global market are highly impressive. Of many cases created by the nation’s multitude enterprises, the most striking example of Samsung Electronics – in terms of the extent of technological spread and leadership ? is most dynamic. It is significant that this maker has recently unveiled curved ultra high definition (UHD)TVs for the first time in the world, intensifying the
competition for next-generation TVs.
The global giant home appliances maker showcased the curved UHD TVs embedded with liquid crystal display (LCD) during the Europe’s biggest electronics trade show, Internationale Funkausstellung (IFA). In addition to the 55 and 65-inch curved TVs, Samsung Electronics also displayed flat and curved UHD TVs built with organic light-emitting diode (OLED) panels. While Sony introduced the world’s first flat UHD OLED TV at the CES in January this year, Samsung Electronics showcased the first curved UHD OLED TV.
And at the exhibition, Samsung Electronics successfully displayed its integrated smart appliance app designed to maximize user convenience. Using the
Android app, users could view and control all networked home appliances at the booth through a smartphone. A spokesperson of the company said “A master key of this integrated app can be set in advance to turn a lamp on and off automatically.”
A smart refrigerator captured keen attention from visitors. Numerous visitors were shown how to control it with an app. The smart refrigerator has a display to show users a shopping list of foodstuff, which is in sync with their smartphone.
The nation’s other electronics giant LG Electronics, meanwhile, revealed a vacuum cleaning robot that was controlled by a smartphone during the event, drawing surprisingly strong attention among global potential buyers. That means any users who have smartphones do not need to look for a remote controller to start the machine.

 
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