“Samsung Electronics Co Ltd is expected to post its smallest profit growth in more than a year in the second quarter, as lacklustre sales of its premium Galaxy smartphones overshadow its highly profitable chip business,” Ju-min Park and Heekyong Yang report for Reuters. “Analysts expect Samsung’s smartphone sales to drop in the April-June quarter, following a more than 2 percent drop in the previous quarter.”
“Samsung’s lead over Apple Inc in the global smartphone market is under pressure after the U.S. firm’s iPhone X exceeded market expectations while a lack of technological innovation dogs Samsung offerings,” Park and Yang report. “Functions (that) Samsung’s mobile phones have are not attractive enough for customers to spend more money on,’ said Song Myung-sup, analyst at HI Investment & Securities.”
“Samsung’s latest Galaxy S9 flagship phone, launched in mid-March… is on track to sell less in its launch year than its predecessor Galaxy S8 series sold in 2017 after its debut, analysts said,” Park and Yang report. “This is expected to drag on profit growth when the Korean conglomerate posts second-quarter earnings on Friday.”
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MacDailyNews Take: Gee, that’s too bad. Are the great unwashed finally wising up to the fact that if it’s not an iPhone, it’s not an iPhone?