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Apple's new Phablets are Crippling Samsung

10. 15  PA  XTRA NEWS


Two weeks after Samsung's new Galaxy S6 Edge+ shipped, the news was already out that the demand for their new smartphones was tepid at best which triggered a drop of $44 billion in value, the worst since 1983. Today a new report has surfaced in Taiwan confirming the first accounts about the Galaxy S6 Edge+. The report notes that "Due to wavering market share and unreliable shipments of high-end smartphones and tablets, Samsung Electronics is lowering its related component orders for the first quarter of 2016, which is expected to put a strain on various makers' performances.


Makers expressed pessimistic views for tablet products in particular due to a slowdown in the market, adding that order visibility has shrunk drastically compared with 2014.


In the smartphone segment, Samsung has seen increased challenges due to Apple's rise in the high-end smartphone market following the release of larger-size iPhones while the China market has witnessed the rise of local vendors offering high specification products at mid-range pricing.


Apple's iPhone 6 and especially the iPhone 6-Plus product line have been extremely popular and not just with Apple's traditional base but with new Android converts. The new iPhone 6s Plus was acknowledged on Monday as being a key driver for pre-orders reaching 10 million during the first weekend.


The new iPhone 6s line-up also introduced a new 'Move to iOS' app to assist Androiders Switchers make their journey to the iPhone easier than ever. This is likely to further depress Galaxy smartphone sales until Samsung could figure a way out of their current quagmire.




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