The world’s largest maker of smartphones just made an unexpected announcement — Samsung says it’s going to start making fewer phones. Despite how odd that sounds, this “less-is-more” approach is probably the safest thing Samsung can do in the face of flagging sales. The company says it’s giving the axe to as much as 30% of its product lineup for next year, and it’s a big lineup. Even with the 30% reduction, Samsung will probably make a few dozen different phones.
Samsung enjoyed incredible profits quarter after quarter until earlier this year. In a quarter when it should have been raking in the dough from sales of the just-released Galaxy S5, its profits actually decreased, a trend that has since continued. When consumers couldn’t get enough of its devices, Samsung could afford to make a different phone for every niche, but now? That’d be foolish.
The world’s largest maker of smartphones just made an unexpected announcement — Samsung says it’s going to start making fewer phones. Despite how odd that sounds, this “less-is-more” approach is probably the safest thing Samsung can do in the face of flagging sales. The company says it’s giving the axe to as much as 30% of its product lineup for next year, and it’s a big lineup. Even with the 30% reduction, Samsung will probably make a few dozen different phones.Samsung enjoyed incredible profits quarter after quarter until earlier this year. In a quarter when it should have been raking in the dough from sales of the just-released Galaxy S5, its profits actually decreased, a trend that has since continued. When consumers couldn’t get enough of its devices, Samsung could afford to make a different phone for every niche, but now? That’d be foolish.
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