Samsung Electronics Co, the world’s second-largest handset maker by market share behind Finland’s Nokia Oyj, will focus on high-end customers this year because high-end phones are more profitable, a company official said yesterday.
“While units [shipments] are important, even more important is the value of each handset unit. Samsung will focus on mid to high-end phones this year to drive up revenues as we see higher margins associated with high-end phones,” Smile Kim, president of Samsung Electronics’ Taiwan branch, yesterday said.
Samsung expects to ship 200 million units worldwide this year, compared with last year’s 196.6 million units.
But Kim said he saw an increase in rush orders for dynamic random access memory (DRAM) from Samsung’s memory chip department and believed that signs point to a “warming up” in downstream technology business.
In Taiwan, Samsung hopes to lead the market this year, with a sales target of US$200 million, Kim said.
Research by US-based Strategy Analytics Inc shows the global handset market grew 4.9 percent in shipment volume to 1.18 billion units last year, from 1.12 billion units.
Nokia and Samsung claimed the top two spots last year with a market share of 39.8 percent and 16.7 percent, respectively, on shipments of 468.4 million and 196.6 million units each, Strategy Analytics’ data showed.
Next in the rankings for mobiles by worldwide market share were LG Electronics Inc, Motorola Inc and Sony Ericsson Mobile Communications Ltd, in that order.
Samsung’s handset focus this year will be on improving user-interface, promoting high-definition (HD) quality visual and sound, and introducing touch screen technology across different feature phones, Kim said.
The firm also wants to seek leadership in niche markets across product lines, such as “being No. 1 in the domestic 40-inch full HD TV category,” he said.
Ryu Jae-hyun, a director of the mobile marketing department of Samsung Electronics’ Taiwan branch, said customers would see Ultra Touch S8300 in the style category at the end of next month, as well as M7600 and M6710 in multimedia category sometime in June.
“These new models are currently on display at the Mobile World Congress in Barcelona,” Ryu said at the same briefing.
Cash-strapped developer China Evergrande Group (恆大集團) has begun repaying investors in its wealth management products with real estate, said Hengda Real Estate Group Co Ltd (恆大地產), its main unit. Evergrande, with more than US$300 billion in liabilities, is in the throes of a liquidity crisis that has left it racing to raise funds to pay its many lenders and suppliers. It has a bond interest payment of US$83.5 million due on Thursday. The company said on WeChat on Saturday that investors interested in redeeming wealth management products for physical assets should contact their investment consultants or visit local offices. Financial news outlet Caixin on
Alphabet Inc’s Google on Tuesday announced plans to buy a New York office building for US$2.1 billion, confirming its push into the US’ largest city despite the COVID-19 teleworking trend. This is the largest real-estate purchase in the US for an office building since the beginning of the global spread of COVID-19, the Wall Street Journal quoted Real Capital Analytics as saying. Google already rents the premises in Manhattan, which are located on the site of a former railroad terminal in the Hudson Square neighborhood. The Silicon Valley giant envisions a campus with a total surface area of 160,000m2 by mid-2023
‘CORE VALUES’: The contract chipmaker did not specify why the employees were dismissed, but media reports said they had leaked information about customer orders Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has fired seven of its employees for violating the company’s “core values,” the world’s largest contract chipmaker said yesterday. While the company did not disclose exactly why it fired the seven employees, local media reports earlier in the day said that the employees had leaked confidential information about customer orders. In a statement, the company said that it fired the seven at once, adding that it released an internal notice last week to inform the entire company of the move ahead of the four-day Mid-Autumn Festival holilday, which ended on Tuesday. TSMC said it fired the seven
MILD ADJUSTMENT: Two previous efforts failed to curtail mortgage financing, although the new measures should not affect property prices, the central bank governor said The central bank yesterday tightened credit controls for second-home mortgages in specific areas and purchases of plots of land, especially in industrial parks. However, the nation’s top monetary policymaker kept its policy rate at a record-low 1.125 percent for the sixth consecutive quarter, despite revising up its GDP growth forecast for this year from 5.08 percent to 5.75 percent. “Board members factored in economic uncertainty at home and around the world,” central bank Governor Yang Chin-long (楊金龍) said, adding that growing inflationary pressure was a temporary phenomenon induced by bad weather and a low base effect for oil prices. International fuel price increases