Profit **85%,* Is it difficult for the business to bear? Want to return to China after reflection?
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Corporate drama, which is played out every year, is actually quite funny now, and the situation at Samsung doesn't seem to be very good, with an 85% drop in operating profit, like a slide, it's the worst since the 2008 financial crisis, why is it so bad?
Three stars from the peaks to the valleys.
Speaking of Samsung, this name is already known to everyone, especially in the mobile phone and chip industry, which brings trillions of yuan in revenue every year, and is almost the existence of a hegemon.
But the recent news is shocking, Samsung's chip business has lost more than 80 billion yuan, and its operating profit in 2023 has fallen by nearly 85% compared to last year. You heard it right, 85%, which is the lowest number since the 2008 global financial crisis.
Seeing this number, people can't help but ask: How did Samsung, the former chip giant, get to where it is today?
To say why, it's complicated and simple. Samsung's previous earning power, the leader of its semiconductor business, was mainly the production of memory chips such as DRAM and NAND.
According to South Korea's ** report, by 2021, Samsung's sales and market share in the global flash memory chip market will rank first for 15 consecutive years, accounting for almost half of the entire memory chip market.
In addition, China alone contributed nearly 295% of the market's purchasing power.
However, the good times were short-lived, and Samsung's performance in the Chinese market was not as good as expected, and the decline was rapid and sharp.
Later, it seems to have gotten worse.
In order to limit the development of China's high-tech industry, the United States put pressure on South Korea to join a company called"Chip Quad Alliance"of organizations.
As a leader in the field of memory chips, Samsung has naturally become the main force in this alliance.
We thought it was all planned, but we didn't expect South Korea to join in just four months"Limited Nuclear Alliance", Samsung Electronics' chip inventory also increased by 40%.
In today's era of globalization, China is a huge market and is very important for any international brand.
At this point, Samsung realized that it would not survive if it abandoned the Chinese market. This experience may teach Samsung a profound lesson.
This tells us that even the giants of the tech industry cannot ignore the power of the market, especially in a large market like China.
In today's globalized economy, any company that wants to make a difference on the international stage must learn to be flexible and find its place in different market environments.
The rise of Huawei.
Does Samsung plan to return to the Chinese market and actively seek cooperation, and what is the position of the Chinese chip market and Samsung?
Samsung obviously wants to regain its former glory, but this is probably just a dream.
After all, when you fell in love with Huawei, now Huawei makes you want more!
When Huawei launched the Mate 60 series of phones, it went with the complete ..."Sinicization"The Kirin 9000s chip.
Seeing this, a group of people who were disassembling mobile phones excitedly began the disassembly work. It turned out that more than 10,000 parts of the phone had been found.
This has given a huge boost to the development of the country's technology sector.
Take Huawei, for example, in the face of these international storms, Huawei has not flinched at all, on the contrary, its revenue in 2023 has quickly reached 700 billion. This number is out there, who is not convinced?
Under the gaze of so many pairs of eyes around the world, Huawei's new mobile phone has been adopted"China Chip"This is not only technological progress, but also to tell the world that our own Chinese technology is also the best.
Huawei's success is not only due to good products, but also to its spirit of independent R&D and investment.
In the fiercely competitive market, Huawei is like a pioneer who is not afraid of difficulties, paving its own path wider and wider, step by step.
Samsung doesn't sell us the top chips, which forces Chinese companies to do their own research.
In 2023, the number of chips imported by China will decrease by 51.7 billion, which means that the share of domestic chips is increasing.
When you think about it, this is not a small achievement for any country. According to experts in the sector, self-sufficiency is expected to reach 70% by 2025.
The release of this data is not only a joy for Huawei, but also a source of pride for the whole of China.
This is undoubtedly a wake-up call for Samsung, in this era of fierce global competition, no company can rely on the glory of the past alone.
The market is changing, technology is advancing, and only continuous innovation can keep up with the pace of the market and not be eliminated by the times.
Huawei's success is not only Huawei's success, but also a revelation to all enterprises: in this era, only companies that dare to carry out independent research and development and dare to accept challenges can gain a foothold in the future competition.
Reflection with the return of Samsung.
In the face of huge challenges, Samsung seems to have begun to reflect.
Some time ago, according to online reports, Samsung was going to use the HarmonyOS system and was ready to fight back in the Chinese market. If this news is true, then Samsung's decision is really not easy, after all, it is not only a matter of time, but also a matter of market confidence after waves.
For Samsung, this is both an opportunity and a huge challenge.
After all, the showers of high-end chips have been reshaped, and if Samsung wants to return, it must not only whiten, but also give strength in technology, especially the independent research and development, which has to be real gold.
Finally, Samsung reminds us that no one can always be number one in this market. If you want to not be eliminated from the competition, you must constantly update and innovate technology.
For Samsung, returning to the Chinese market cannot be just rhetoric, but action, just like re-establishing its brand image in the minds of consumers.
To complicate matters further, technological progress, especially independent research and development, must be immediate in order to truly win the hearts and minds of the market and consumers.
You see, the current users are unconvinced, they have a high vision and many requirements, and Samsung must go all out this time.
For Samsung, this is a new beginning, but also a big test, returning to the Chinese market is not so simple, there must be real materials to regain the recognition and trust of users.
Some netizens laughed and said: Don't have another explosion-proof door incident.
Samsung has to come up with new ideas in terms of software and hardware, especially in terms of operating system, and the adoption of Hongyun International Mobile Edition is a bold attempt and a huge challenge.
After all, there are a lot of competitors on the market, and each one of them is not vegan.
Samsung's comeback is a huge test for the market, consumers, and even itself. Whether it can re-emerge in the Chinese market depends not only on its determination, but also on its actions and results.
Let's wait and see if the erstwhile semiconductor giant can make another big splash in this space. More choice is always a good thing for us consumers, isn't it?