Samsung Electronics and smartphones are usually pitted against juggernaut Apple iPhone, but the company has a much bigger problem down the market because he fights in a cutthroat Android market.
Fourth quarter earnings report from Samsung, the company said it shipped 95 million phones and 11 million tablets. About 70 percent of these phones were smartphones.
The common theme in the technology sector is to oppose Apple and Samsung against each other. This is the IPhone 6 and 6 Plus against the Samsung Galaxy line of smartphones. The IPad different battles tablets from Samsung.
This scenario is simple and easy to understand --- in fact, it is not very different from that of a generic sports history.
Unfortunately, Samsung smartphone tale is not so simple. Apple and Samsung both play ball in China, but the former remained at the high end. Denting Apple Samsung on the high end of the market, but bottom is what kills the Korean electronics giant.
Analysts say Samsung has lost ground quickly in China last quarter due to a multitude of local handset makers. Welcome to Android and race down to hardware manufacturers.
Strategy Analytics data tells the story:
Samsung and Apple are clearly clashed at the top of the market. Samsung, however, has to worry about Lenovo and Huawei to bulk up. There are also companies like Xiaomi worry.
As Strategy Analytics Noted :
Samsung continues to face intense competition from Apple at the high end of the smartphone market, Huawei in the middle levels, and from Xiaomi and others at the entrance. Samsung may soon have to consider taking over rivals such as Blackberry, to boost growth this year.
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In other words, Apple has to worry about Samsung only on the high end. Apple does not play in the basement of the smartphone industry. Samsung did. And basement becomes messy.
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