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Samsung needs to hit reset button

“Losses at its flatscreen television division and patent disputes with Apple have bloodied the nose of the world’s biggest technology company by sales. And a further blow landed on Friday after a court in Germany banned sales of Samsung’s latest tablet computer there,” Christian Oliver and Song Jung-a report for The Financial Times.

“The long term worry for Samsung is software, which is crucial to its increased focus on high-end consumer electronics such as smartphones and tablets… In future, Samsung… will need its own software arsenal for the next generation of products,” Oliver and Song report. “Hewlett-Packard has warned that the future of the whole technology industry lies in software, which is Samsung’s Achilles heel.”

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Oliver and Song report, “In the nearer term, Samsung’s cherished strategy of being a ‘fast-follower’ and playing catch-up on other companies’ hardware – but with greater volume – is looking hazardous following Apple’s lawsuits. The US company is suing Samsung for allegedly copying its designs. Samsung rejects the charges and is countersuing Apple, claiming intellectual property infringements. Samsung’s executives, who have traditionally been relaxed about the industry’s ubiquitous patent suits, are surprised by Apple’s recent success in delaying or blocking sales in Germany, the Netherlands and Australia. All eyes are now on the US. Apple will next month seek a preliminary injunction against Samsung’s Galaxy products there. The case is crucial to Samsung because even temporary blocks in such a key market would be painful.”

Read more in the full article here.
 

Related articles:
German court upholds Apple complaint: Bans Samsung Galaxy Tab from sale in Europe’s largest market – September 9, 2011
Android apps much less profitable than iPhone apps – September 9, 2011
Samsung moves to expand tablet business with Microsoft Windows – September 8, 2011

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