Will Samsung become the next Nokia?

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Samsung cellphone from the date of birth, relying on their unique innovation and technical strength to climb to the top on the global mobile phone market, but the face of fierce opposition and China’s rising brand of incredibly hot pursuit, Samsung chose a radical venture Road. Will it be the next Nokia?

Samsung cellular phone and an accident: at 7:00 on December 7, China Airlines CI027 flight via Palau, after Manila, a passenger in the Samsung S6 mobile phone smoke, the unexpected emergency placed in the ice basket isolation, not delay routes or personnel Injury.

For the current Samsung mobile phone, the re-occurrence of any little ringing is enough to collection people’s sensitive nerves. And until now, has been a full four months, Samsung still did not investigate the serious reason for Note7 phone explosion.

Within Korea there is a saying that is actually widespread: Korean life can not avoid three things, demise, tax and Samsung.

Samsung Group support a national GDP of 20%, the market value of more than 200 billion US dollars. While the Samsung Group’s business involves several fields, but its revenue landed Samsung Electronics Group, about 6 %, of which Samsung is Samsung’s most profitable cell phone the most compelling section.

Two generations of Samsung cell phones

Samsung Founder Li Bingzhe is a very insight into the needs of the market businessman, with the text now, that is, will be aimed toward grasp the trend of the store.

After the transformation of business and export business with the electronic information industry, Li Bingzhe recommended to take the “development of cutting-edge technology” line, after Samsung invested heavily in cutting-edge R & D know-how, making South Korea became the America, Japan, the third independent development of semiconductor countries, As Samsung and Apple down the road to compete against the investment.

Li Bingzhe died, the third son regarding Li Jianxi took over. “In addition to his partner and children, everything must switch,” so that once the fence of bankruptcy Samsung, the productive transformation of South Korea along with the world’s most advanced Information : based electronics companies.

While Samsung’s electronics and mobile company has been developing for decades, the true secret turning point was in 1993. Back then, Samsung chairman Lee Kun-hee and about 200 people in the core business throughout Frankfurt, opened a 16-day meeting. Due to the fact Samsung had good product quality, but do not see the future, the primary indoors indulge in Korea, the inner evaluation of the pursuit of volume rather than quality.

Samsung hopes to give attention to quality can be used as an important phase across the threshold. So, Li Jianxi as well as Samsung’s board of directors chosen to radical reform. Li Jianxi ordered this recall of tens of thousands of mobile phones, including TV sets and faxes, and therefore the product together for damage. Since then, Samsung “new management era” has ultimately come true, the event as Samsung’s speedy growth and a sign of world success.

Finally, the second era of the head of Li Jianxi expended nearly 20 years will be Samsung Electronic products has become a world-class products and technology companies, of which, to encourage this company to product quality because core to become a key action. Samsung released in 1988 the first phone SH-100, when the entire mobile phone sector is the world of Motorola; 1996, Samsung released cellphone SCH-100, the model is the globe’s first mobile phone using the CMDA technological innovation; , Samsung introduced its first clamshell mobile phone SCH-800, which is the first Samsung to send and look text messages to the phone, in 2010, Nokia beat Motorola to become the world’s premier mobile phone R & D boss.

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Then, using the development of mobile multimedia, Samsung begin to take advantage of their IT business vertical to the phone earlier mentioned, the first product is the M188. In those days, Mp3 appears time is not lengthy, Siemens has just begun to do plug-in, Mp3 mobile phone is a huge selling point. Samsung because there’s already in the flash to the industrial chain, they also develop Mp3 players, to do a stylish Mp3 cell phone easy.

Similarly, do bright colored screeen mobile phones , Samsung has a tv screen; do camera phones, Samsung has a lens; do smart phones, Samsung’s personal development processor, a semiconductor manufacturing plant. Seems no matter what the market the wind direction, Samsung has got the technical stocks, which makes the Samsung mobile phone in the competition to obtain a great advantage. Inside immaturity of the product, almost every technical indicators can maintain the lead, product competitiveness, natural impressive.

Although most of the time in various cycles, the Samsung mobile phone is not as Motorola, Nokia, Apple and so bright, but its history produced a total of 14 sales exceeded 10 million units of “King.” In addition to incredibly familiar Galaxy S and Galaxy Note set, there are several early functional units have reached a staggering sales. Which is very classic shell clamshell product SGH-T100 is Samsung’s first to sell 10 million models of the model.

In this way, the Samsung mobile phone has been at the forefront of the globe, with the development of technology, mobile phone era finally opened in 2007.

2007, Apple’s mobile phone conference site, when Steve Jobs dwell demonstration of the first generation of iphone, the audience was shocked. Samsung and lots of mobile phone manufacturers are Apple’s this product is far behind.

At that time, consumers are mainly between the iphone and BlackBerry to make a choice, the most important factor is to find operators for their two-year contract which gives free mobile phone.

In 2009, Samsung thought i would launch a new brand, employed to match the forthcoming Android leading mobile phone. At the time, Samsung had a groundbreaking screen technology called Excellent AMOLED, which initially wanted to have the technology available to other companies. But in the end, Samsung decided to deliver their own high-end smart phones, direct potential fight with the iphone.

But at that time, “Samsung” brand has become a cheap flip cellular phone and high-quality TV synonymous with not even close to Apple, BlackBerry or Nokia. As a result, Samsung decided to private Android phone to create a luxury sub-brand, these people chose the Galaxy.

In March 2010, Samsung released the Galaxy S, for its potential launch of a series of Android texting and tablet computers fired the first shot. Galaxy S hardware arrangement enough to match the iphone, although because the software experience along with mobile phone shape to imitate this iphone and much criticism. But it doesn’t seem to matter. At that time, you will still find hundreds of operators around the world didn’t get iphone sales rights, as well as & T is still the product in the country, the exclusive operator.

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In June of that year following your release of Galaxy S, Samsung and owners signed a joint promotion agreement, through the business hall to promote the phone to consumers. They even signed a sales contract with AT & T, and the iphone launched a positive confrontation. Samsung Galaxy S’s good results proved that the lack of features for the iphone is how long * since then, large-screen mobile phone has slowly but surely become a trend.

In the fall of 2011, Samsung released the Galaxy Note. This equipped with a 5.3-inch screen, the device opened up a real “giant screen cellular phone” market (when the iPhone4S only with a new 3.5-inch screen). Compared with many mobile phones at the time, Galaxy Note absolutely termed giant.

The media progressively emerged a new argument: Should you not hurry to catch up with Samsung, improvement a larger screen size mobile phone, Apple are typically in trouble. At the same time, Samsung is successful. Galaxy S series of product marketing programme produced a joint effect, to advertise the Samsung washing machines and fridges and other products sales.

After 2012, Samsung’s profits soared 76%, the main driving force will come from the rapid development of mobile business. Mobile phones instantaneously became the most profitable sector of Samsung.

In this year, Nokia had been squeezed under the throne of the the planet’s first Samsung, and it dominates by far the largest mobile phone R & D manufacturer’s term for 14 years. Because did not keep up with changes in the market, too late to launch smart phones, Nokia from 2007 following the rapid decline.

Samsung mobile phones within the smart phone all the way to the wind flow straight. Wait until the Galaxy S4 in March 2013 release, the Samsung solutions caused by the expectations of only Apple can shoulder to make. Which officially announced the smart phone market, the era of the a couple strong competition.

Watershed

However, Samsung would not continue this scene, the alarm sounded in 2014. Throughout 2014, Samsung can be described as fleeting disadvantage, a new generation of flagship GS5 introduced applauded the small number of advancement and criticism of the audio.

In China, millet as the representative of an upswing of China’s mobile phone brand, Samsung in 2014 by millet overtake relegated on the second, in 2015 by Huawei, Apple, Oppo, Vivo outside of, fell out of the top five.

In 2014, Apple’s big screen iphone 6 plus release. Apple’s stubborn recent gave Samsung a lot of opportunities, along with improve the product line after Apple very seriously affected Samsung’s living space. In addition, Sony provides experienced years of losses include gradually awakened, OneSONY Z1’s first product or service poor performance, but the minute Z2 do quite well, whether it is display screen or shooting, are gradually blending the advantages of other section, and Not continue to split each other.

ZTE, Huawei, TCL, Lenovo products are maturing in the international market to give Samsung pressure, millet, Jinli, Oppo, vivo will also be actively explore overseas areas. Millet is undoubtedly the biggest winner with 2014. According to some agency quotes, it has become China’s largest smart phone manufacturers. Millet mobile phone made of metal and other high-end products, so the appearance of more high-end than the Samsung mobile phone. They also have a similar construction with Samsung, including high-speed processor, sharp display screen and high-quality camera, and the costs are only half of Samsung.

On the other hand, Samsung’s accomplishment largely due to its large-scale expansion of cellphone sales channels. Before 2014, iphone co-operators exclusively one-third of Samsung mobile phones. In the United States, unless you are able to buy iPhone’s On & T users, or Samsung mobiles will be one of your best choice.

Within China the same is true, as the world’s major mobile operator, with Six hundred million users of China Mobile provides yet to sign with Apple. Until January 2014, China Mobile ended up being officially started selling iphone. Since that time, China has become the Apple iphone business, one of the fastest-growing sector.

“If you do not know the reason for your ability to succeed, then the danger will come whenever you want.” “One of the reasons Samsung succeeds is that it has achieved what exactly Nokia and other companies are not able to attain, fully integrating audience assets, Can not be sustained, because their telephone is nothing special about Samsung within the high-end market was Apple squeeze, inside the low-end market is facing the challenges involving millet. “United States well-known media people have said.

Radical catch – up

By 2015 onwards, the global smart phone sector structure changes. Samsung and Apple, which will once grabbed 99 percent of the profits of the market, are usually in the opposite direction for the past couple of years: Samsung’s market share has fallen dramatically and Apple’s new iphone continues to be popular.

In order to seize the market possibilities, Samsung will Note7 release time in advancement of ten days, that is, from September 13, ahead of August 3. Note7 has the potential to be released, and there are plenty of new developments, such as higher-pixel displays, iris recognition, hyperbolics, plus fast-charging technologies.

This strategy to help Samsung Electronics in the second quarter of this year to achieve the best functionality over the past two years, but a direct result of Samsung’s research and development stresses continue to increase, while increasing the pace of product invention did not keep up, and even goods Quality control are cracks.

Adjusted the end of August, on Note7 battery fireplace cases reached dozens. September 2, Samsung organised a press conference with Seoul announced the recall provides shipped 2.5 million Note7 phone.

This result’s clearly the worst: not only failed to seize the motivation, but to the opponent routed a “God assists.” US operators T-Mobile report shows, iPhone7 and iPhone7Plus inside the reservation phase of profits record, order quantity 4 timesto iPhone6.

Following problem occurs, Samsung if the initially recall to accurately find out the problem, and perhaps also can speedily stop the bleeding. But so far, Samsung has failed to give consumers an acceptable answer. Where is the problem all things considered?

In fact, Samsung Electronics in the model chip, image sensors, screens and various mobile phone core components on the layout, are in the industry-leading position. Samsung contains a complete industrial chain plus components of the core technology the reason why the battery somersault?

Unlike most of it is peers, Samsung mobile phones are more prepared to take risks in study and development, especially for the core components of the upper reaches of the dedicated input, excessive R & D investment and the courage to take risks decision, Become the initially in the world.

This vertical incorporation advantages of the industry chain to open up the design and production of multiple links to Samsung to make far wider than other manufacturers in the innovation space, but additionally planted more hidden problems.

Conclusion

Samsung Galaxy Note7 battery crisis has been to Samsung Electronic products has caused about 6 billion US dollars in cuts. Samsung mobile phones face a real situation, the reason, nothing more than the following:

Very first, the hardware strength of the Samsung started the lack of basic program requirements. Its software system optimization, although fluent yet rarely glorious, in the short-board software package services not only to the standard Apple, but also with millet and other domestic phone competition again and again lost.

Secondly, the lack of user viscosity. Apple’s hot-selling based on Apple’s model, the system features such as the store of the ecosystem, millet, Huawei and other low-end cellular phone is based on its outstanding cost-effective in addition to fan economy spread, whether or not Apple or millet, user viscosity and customer loyalty Degree is unmatched by simply Samsung.

Third, the hardware energy is no longer no one enemy. The actual hardware advantage can enjoy a lifetime, I did not realize know-how matures in the smart phone marketplace, hardware differences will become progressively smaller. Apple acquired the processor chip design company, and Chinese companies with China’s overall R & D strength can be rising, Huawei’s HiS processor not simply inferior to Samsung, its intergrated , in the baseband even beyond the Samsung, Sony’s BSI Samsung’s CMOS turn out to be second-rate.

When the Samsung mobile phones in various areas is no longer the king almost daily, the decline is inevitable. But this does not mean that Samsung will likely be fiasco. Many public opinion worried about its in the cellphone market or will become another Nokia, which may be a bit alarmist. Galaxy Note7 accident are going to have an impact on its short-term product sales, but in the long run, the touch screen phone market is highly competitive, irrespective of whether Apple or Huawei, the pace of invention have been significantly tired, take care of the crisis and classes learned this battle , Samsung cellular phones are still turning to fight.

Samsung’s investment hit record highs immediately after news of Samsung’s recent move to split the company into a having company and an operating organization. This is also seen from the medial side of the investors and the companies are still bullish on Samsung. While South Korea’s most influential engineering companies, Samsung will usher in 1969 since the establishment of the biggest changes. This Li for the third generation of the head of Li Jirong, the test has just begun.

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