Samsung Electronics who have spent the last 12 months buring up the market has suddenly got the wobbles due to falling demand for their products especially in the flat panel TV market.Yesterday the Korean Company who are #1 in several markets in Australia including the low margin TV market said that weaker-than-expected third-quarter earnings was set to impact the Company.
They admitted that the strong business momentum achieved last year and into the 1Q of 2010 is fading amid slowing demand for consumer electronics.
The Wall Street Journal claims that Analysts expect tough market conditions ahead for the South Korean electronics giant as prices for its major components such as chips and liquid crystal displays are likely to fall further on rising global supply.
The WSJ claims that the strengthening of the Korean won against the US dollar adds to the murky outlook as it makes Samsung’s products less competitive overseas.
Samsung said it estimates median third-quarter operating profits of $4.4billion which is more than Sony has achieved during the past 3 years.
Samsung is the world’s largest maker of flat-screen TVs and the world’s second-largest maker of mobile phones by shipments behind Nokia.
