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Company News
>> Excluding mobile phones and OLED screen Samsung's future focus on the three major areas
According to foreign media reports, Samsung Electronics quite profitable this year. Analysts said that 2017 will be Samsung's most profitable year, 2018 will set a new record. This success does not lie in Samsung mobile phones, Samsung TV or other Samsung products, but semiconductor products, OLED screen is indirectly.
Earlier this year, Samsung beat Intel in the world's leading memory chip maker contest, topped the list. Given that Apple itself also uses Samsung chips and screens, even Apple cell phone enthusiasts, they all support Samsung's dominance in the component business. Chip and screen will remain Samsung's trump card business next year. According to reports, Samsung expects the main earnings will still come from the component business, because the memory market momentum is good, sales of flexible OLED screen is also expected to steadily increase.
However, Samsung can not rely on semiconductors forever. For the next ten years, affordable manufacturers will catch up with Samsung's current top-of-the-range products, and technology companies will no longer have to pay for Samsung.
Earlier this year, Samsung beat Intel in the world's leading memory chip maker contest, topped the list. Given that Apple itself also uses Samsung chips and screens, even Apple cell phone enthusiasts, they all support Samsung's dominance in the component business. Chip and screen will remain Samsung's trump card business next year. According to reports, Samsung expects the main earnings will still come from the component business, because the memory market momentum is good, sales of flexible OLED screen is also expected to steadily increase.
However, Samsung can not rely on semiconductors forever. For the next ten years, affordable manufacturers will catch up with Samsung's current top-of-the-range products, and technology companies will no longer have to pay for Samsung.
This explains why Samsung Electronics plans to acquire more companies in 2018. In an interview last week, Young Sohn, Samsung Electronics' president and chief strategy officer, said the company "is committed to using M & A as a tool." The future focuses on three areas: automotive, digital health (especially preventative health), and commercial software. Careful observation will find Samsung ace business - mobile phones and semiconductors are not on the list. These are outside the comfort zone of Samsung Electronics, even though Young Sohn is well-versed in Silicon Valley and is not good at these areas. In March of this year, Samsung Electronics acquired the U.S. car stereo giant Harman for $ 3 billion, the largest deal in Samsung's history. In addition, Samsung also announced in September a $ 300 million fund to invest in car startups and a business unit focused on self-driving. The government has approved Samsung to test autonomous vehicles in South Korea and California.
In fact, Samsung parent company already produced more than 100,000 vehicles for the Korean market, and Samsung executives may know little about it. Samsung Motors was established in 1994, but the Asian financial crisis quickly paralyzed it. Renault Samsung Motors was established in 2000, now owned by the French car company. Although the self-driving Samsung cars will not appear on the US road, but Samsung is bound to carry out reform, cooperation with the car company, for the development of automotive technology subsidiary. Obviously, Samsung urgently needs to find the next "semiconductor."
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