Thursday, August 29, 2019

Samsung sells more smartphone components in China

As reported by The Korea Times,industry analysts note that "Samsung Electronics is expanding its supply of smartphone components such as camera image sensors and display panels to Chinese phone makers to take advantage of their soaring market dominance in the highly competitive smartphone market there..."  As this blog has noted in numerous prior posts, (see for example these) smartphones are essentially modular computing and communications devices.  Although Google's Project Ara failed, the physical reality is that all smart phones are created by putting together modules.  This helps to explain why the recent Japanese restrictions on the export to Korea of materials necessary for the manufacture of semiconductors and displays are so potentially damaging to Korea's economy.  In China, companies like Huawei and Xiaomi have come to dominate the smartphone market, in the process taking market share away from Samsung.   This development provides an opportunity for Samsung to improve its overall business position by selling more components to the Chinese manufacturers.

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