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Samsung warns profit to fall 60%

taipeitimes.com

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Re: Samsung warns profit to fall 60%

#51

Post by ksec »

sanxiyn wrote: post #17
axaxs wrote: post #12

Earlier quoted context omitted.

I appreciate the insight. I don't know anything about that business, and also realize that Samsung as a whole is a huge conglomerate with many things I don't track. Being chip based, I'm assuming they have increasing competition from China though, no?

No. There actually has been a good news from China on DRAM recently. Fujian Jinhua, the leading Chinese DRAM competitor, is rumored to be exiting the business.

It is more of a political move to smooth out the Damage about Fujian Jinhua stealing IPs from Micron more than anything else.

Re: Samsung warns profit to fall 60%

#52

Post by sanxiyn »

ksec wrote: post #51
sanxiyn wrote: post #17

Earlier quoted context omitted.

No. There actually has been a good news from China on DRAM recently. Fujian Jinhua, the leading Chinese DRAM competitor, is rumored to be exiting the business.

It is more of a political move to smooth out the Damage about Fujian Jinhua stealing IPs from Micron more than anything else.

Yes, but it's still a good news for Samsung.

Re: Samsung warns profit to fall 60%

#53

Post by sanxiyn »

ksec wrote: post #49
a_bonobo wrote: post #11

Earlier quoted context omitted.

There is more background in other articles on Samsung's prediction: >Samsung said it received fewer orders from cloud service providers, such as Amazon, as well as from handset makers, such as Apple, which has recently seen a slowdown of its own smartphone sales. This low demand in the cloud services and smartphone markets for both DRAM and NAND flash chips have pushed the prices of these chips down. >According to Bl…

I have never trusted this Datacentre narratives because it doesn't make sense. On one hand you have you Intel saying they can not supply enough CPU because of high demands, on the other hand Component manufacture are blaming the low Supply in the channel for their lower than expected sales. All while AMD is taking server and desktop side market shares, no matter how small the percentage that is. I think it basically…

I heard from grapevine that cloud vendors accumulated DRAM stockpile. That's why CPU demand is high but DRAM demand is low.

Re: Samsung warns profit to fall 60%

#54

Post by sanxiyn »

AFascistWorld wrote: post #32
axaxs wrote: post #25

Earlier quoted context omitted.

I'm not anti Samsung, and having used Xiaomi, definitely not pro for them. That said, it's hard to deny the value they offer. In the premium market, Huawei is lapping them. Samsung used to vie for best camera. Now they're with Apple in lagging far behind the Pixel and P series.

Like I said, Huawei is great at marketing at least in China, their patriotism marketing has been so successful there. >In the premium market, Huawei is lapping them Where? In China? My personal opinion is when you dive deep, Huawei is more about marketing hype than substance. The tri-camera is Israel tech, they rely on Samsung for memory chip and OLED, things like their battery life achieved by furiously killing back…

Huawei has a lot of substance. Huawei has its own 4G and 5G modem for example. Apple still does not, and is struggling.

Re: Samsung warns profit to fall 60%

#55

Post by foobar1962 »

sanxiyn wrote: post #6

Comments here are out of their mind. Samsung's smartphone business hasn't been a profit center for quite some time. Majority of profit came from DRAM and NAND, and profit fall is directly attributable to recent price crash of both.

I just had a conversation with somebody who asserted that Apple was bad (proprietary etc) and Samsung was good, and that Apple was 3rd phone maker behind Samsung and Huawei.

He may be right about Apple being 3rd, but Apple looks to be the only one making a decent profit from their phones.

How do they manage that when they have to pay for both hardware and software development, when all the others get the software for free?

Re: Samsung warns profit to fall 60%

#56

Post by malux85 »

foobar1962 wrote: post #55
sanxiyn wrote: post #6

Comments here are out of their mind. Samsung's smartphone business hasn't been a profit center for quite some time. Majority of profit came from DRAM and NAND, and profit fall is directly attributable to recent price crash of both.

I just had a conversation with somebody who asserted that Apple was bad (proprietary etc) and Samsung was good, and that Apple was 3rd phone maker behind Samsung and Huawei. He may be right about Apple being 3rd, but Apple looks to be the only one making a decent profit from their phones. How do they manage that when they have to pay for both hardware and software development, when all the others get the software for…

Because when the iPhone came out it was very expensive but significantly ahead of competition.

People paid for it, even people who couldn’t afford it found a way to pay for an iPhone

The huge cash burst into Apple meant everyone was scrambling to deal with them.

Then economies of scale, negotiating leverage with third parties and sheer momentum propelled them

Re: Samsung warns profit to fall 60%

#57

Post by grey-area »

foobar1962 wrote: post #55
sanxiyn wrote: post #6

Comments here are out of their mind. Samsung's smartphone business hasn't been a profit center for quite some time. Majority of profit came from DRAM and NAND, and profit fall is directly attributable to recent price crash of both.

I just had a conversation with somebody who asserted that Apple was bad (proprietary etc) and Samsung was good, and that Apple was 3rd phone maker behind Samsung and Huawei. He may be right about Apple being 3rd, but Apple looks to be the only one making a decent profit from their phones. How do they manage that when they have to pay for both hardware and software development, when all the others get the software for…

They target the high end where all the profit is.

Re: Samsung warns profit to fall 60%

#58

Post by dragosmocrii »

tyingq wrote: post #2

Moore is less, I guess? People holding on to older phones longer.

Why should I upgrade my Huawei P9 I got in 2016, when it works perfectly fine* and has the adequate power to run everything smoothly.

* I did change the battery twice though. Too bad it's not as easy as taking the back cover as on a Nexus One...

Re: Samsung warns profit to fall 60%

#59

Post by AceJohnny2 »

malux85 wrote: post #56
foobar1962 wrote: post #55

Earlier quoted context omitted.

I just had a conversation with somebody who asserted that Apple was bad (proprietary etc) and Samsung was good, and that Apple was 3rd phone maker behind Samsung and Huawei. He may be right about Apple being 3rd, but Apple looks to be the only one making a decent profit from their phones. How do they manage that when they have to pay for both hardware and software development, when all the others get the software for…

Because when the iPhone came out it was very expensive but significantly ahead of competition. People paid for it, even people who couldn’t afford it found a way to pay for an iPhone The huge cash burst into Apple meant everyone was scrambling to deal with them. Then economies of scale, negotiating leverage with third parties and sheer momentum propelled them

> Because when the iPhone came out it was very expensive but significantly ahead of competition.

From a CPU perspective, they still are:

https://www.anandtech.com/show/13392/the-iphone-xs-xs-max-re...

(for the rest of the features, that's indeed debatable)

Fun fact: Samsung made the chip for the first iPhone. Steve Jobs was so dissatisfied with the experience that Apple bought PA Semi to design the chips in-house.

Re: Samsung warns profit to fall 60%

#60

Post by bostik »

axaxs wrote: post #26
onlyrealcuzzo wrote: post #9

Earlier quoted context omitted.

Samsung is really reminding me of Sony.

Sony has always been an enigma to me. They release devices that appear midrange or yesteryear, and I get excited because I generally test devices in that range. Then I see the price and wonder how they're even in the business anymore.

A friend once put it really well: "Sony is a company with brilliant engineers and amazing consumer feature ideas. Then all the good ones get crippled by their lawyers and the media industry sycophants."
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