“Samsung yesterday posted stagnating sales and its weakest profits since becoming the world’s biggest phone maker in 2012, just a week after Apple released strong financial results driven by a jump in iPhone sales,” Adam Satariano reports for Bloomberg.
“The reports expose a vulnerability in Samsung’s strategy of trying to be the phone company for all people. The high-end Galaxy S line — the most profitable models for the company — is being squeezed by Apple, which will attempt to tighten its grip later this year with bigger-screen iPhones that undercut a key selling point for Samsung,” Satariano reports. “At the other end of the price spectrum, Samsung is grappling with upstart rivals in Asia such as Xiaomi Corp.”
“Apple, meanwhile, is seeing the fruits of sticking with its strategy of focusing on deeper-pocketed customers and not responding to critics who have urged the Cupertino, California-based company to cut prices,” Satariano reports. “iPhone sales increased 13 percent last quarter and the company had its biggest profit jump in two years.”
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MacDailyNews Take: Cheap, IP-thieving, plastic knockoff peddlers eventually get what they deserve.
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