Samsung reported weaker fourth quarter results on the back of a negative economic climate and lower demand for its semiconductor and smartphone products. The company said conditions were expected to continue into Q1, with company performance also pulled down by its memory chip business. In March, Samsung warned again that its results would be lower than market expectations due to worse than forecast business conditions at its display and memory industries, and higher capacity for LCD products from Chinese competitors.
The company has taken a number of measures to counter the difficult business conditions. The company said it will in the short term strengthen product differentiation and shore up its cost competitiveness via efficient resource management. In the medium to long term, Samsung said it will also look into strategic investments in R&D and new businesses, among other measures.
Some smartphone manufacturers are also feeling the pinch. Reports say FIH Mobile will be scaling back its phone operations and putting its focus more on its automotive electronics project. The move is designed to offset slowdowns at many of FIH Mobile's clients. Sony said it will be closing down its smartphone plant in Beijing.
Meanwhile, pre-orders will be opening later this month for the recently introduced Galaxy Fold. The foldable device is expected to retail at over EUR 2,000.
