Samsung has, for many years, offered smartphones at every price level. Still, with Xiaomi Propelling a large number of low-cost models that provide an excellent value for money, Samsung faces real competition from all angles. Samsung has also stepped into the electronics range other than mobile phones. It currently holds a 24.5% market share for smartphones in China.
Samsung’s smartphone segment is enjoying impressive success in emerging markets like India and Malaysia. In India, for example, Samsung is second only to Apple, which has over 60% market share for smartphone devices. However, Samsung’s sales of smartphones in this country are growing at a much faster pace – it recently reported its quickest smartphone profit ever. In addition, Samsung spends heavily on advertisements to promote its products – it spends almost $3 billion a year on ads in China alone.
In contrast, Xiaomi is relatively new to the smartphone market in China, having launched just two smartphones – one in May and another one in August. Its earnings in the smartphone market have been slow, but it appears that growth is looking up. Recently, it announced that it would launch four more smartphones this summer. In the coming months and years, it aims to triple its profits from the smartphone market. If it reaches this target, it will have leaped ahead of Samsung in its home country – but how far can it go?
Well, MIUI, the operating system in Samsung’s smartphones, is not as advanced as Android. Samsung’s Bapu, the platform used for Android apps, is much more versatile and provides the backend functionality that many people expect from a smartphone operating system. MIUI does not have the features offered by Android, like support for a large number of applications and system integration. Even though Samsung has released a few apps similar to Android, it lags in-app availability and usability.
Will the rivalry between MIUI and Samsung continue into the next smartphone market era? It is hard to say. No company is yet prepared to reveal its strategy for the future. Some believe that the company is still mulling over whether it should launch its device brand or license the Android license to third-party companies and make its phones. If Samsung decides to do these things, it will have to compete with an equally large and thriving ecosystem of app developers that it already has to contend with. The other significant threat from the smartphone market is the possibility of devices becoming more user-friendly and offering more value to their users.
Will Samsung continue to release high-end smartphones such as the Galaxy S4, the Notebook series, and the Galaxy Tab? If it is, will it be able to maintain the interest of its core group of users who have become so accustomed to the company’s range of traditional notebooks? Will the company still sell foldable smartphones? These are questions that we will find the answer to in due time.
One thing is clear, Samsung is keeping up with the competition. Its attempts to be one ui innovator are being met with strong resistance from industry giants like HTC, LG, and Sony Ericsson. Despite these challenges, Samsung is still standing tall and optimistic. This is because the company continues to invest in the research and development of new devices and operating systems. It also makes sure that the latest technology is made available through its affiliated stores across the world.
As mentioned earlier, there is a distinct possibility that Samsung will release its Smartphone by the end of the next decade. But what if it doesn’t? Is there any chance that another company will successfully dominate the smartphone market by that time? Fortunately for Samsung, if it is working on something, it won’t be long before it is ready to reveal it. We can only wait and see. Stay tuned for our latest news updates on all things Samsung.