Samsung gets crushed after reports that its Galaxy S4 is selling poorly

Samsung's stock fell 7 percent today following multiple reports that sales of its new flagship Galaxy S4 have slowed.

The reports also highlighted the fact that Samsung recently introduced two other models of the S4, which should hurt their profit margins due to a lower price tag.

Despite becoming Samsung's fastest selling device right after it launched in April, sales have slowed considerably, say analysts. "Sales of high-end handsets are lagging behind expectations, while low- to mid-end handsets are selling briskly worldwide," noted Kim Young-chan, an analyst at Shinhan Investment Corp. "As the portion of low- to mid-range handsets is expected to increase in Samsung's overall mobile phone business, this has also sparked concerns about thinning margins and lower growth."

Altogether, the drop accounted for a loss of $12 billion in the company's market value.

Written by: Andre Yoskowitz @ 7 Jun 2013 18:02

ZeusAV

Not too surprised. The S4 doesn't offer much over the S3 to make people feel like they need to upgrade.

7.6.2013 21:07 #1

xtago

I don't think it's that.

In the launch they said they'd have 2 GS4 on sale a 4 core snapdragon and a 8 core eynox and the memory range was 16gig to 128gig with 3g and LTE version of both types.

So far the USA has only gets the snapdragon and LTE.

Australia only gets the snapdragon and LTE and 16gig is the only version sold at mobile vendors and currently the only version Samsung wants to sell here.

Not sure about the Uk but probably the same deal.

I would buy this phone if you could get the 8 core and 128gig LTE version but they probably aren't in production and the only market I know of with them is the south korean market with that phone.

So while a lot of people probably would buy the phone you can't get the version most people want in their market so are waiting (like me) or looking at other phones.

It seems the marketing have over hyped something that isn't being sold instead of showing what will be sold.

7.6.2013 21:36 #2

Hyasuma

The phone is a nice device. However,there is no reason that they should of came out with the new S4 Active and S4 Mini....there is really no need...

Being nice always has its own consequences

7.6.2013 22:19 #3

PraisesToAllah

I speak for many people and I can say with great pride that I am happy with my S2. I updated it to Jellybean earlier this year and I am happy. I don't need the extra smart features. It handles JB really well and I don't have any slowing down whatsoever.

I wouldn't buy a new phone until I have exhausted my S2 =]

8.6.2013 02:33 #4

mukhis

Originally posted by xtago: I don't think it's that.
+1
i am also waiting like you specially when samsung and others have too many similar devices in the market now. here in india, sammy came out with galaxy grand and mega, both are very capable, but not as expensive as GS4, and they are dual-sim smartphones. no wonder why sammy is losing market of GS4...
in addition, i am waiting for a smartphone that can let me use a full office like MSO 2013. i don't know whether that's gonna happen soon but chances are there (M$ is deliberately taking too much time to get it to android/iOS).

8.6.2013 12:05 #5

buddyleem

The big rush of sales was so huge no wonder it slowewing. I bet these reports aren't even correct. Samsung is like apple now. Expect lots of negative news coming to bring it down a notch

Hack a bit, invest a bit, work a bit, jerk a bit

8.6.2013 12:12 #6

hearme0

Originally posted by xtago: I don't think it's that.

In the launch they said they'd have 2 GS4 on sale a 4 core snapdragon and a 8 core eynox and the memory range was 16gig to 128gig with 3g and LTE version of both types.

So far the USA has only gets the snapdragon and LTE.

Australia only gets the snapdragon and LTE and 16gig is the only version sold at mobile vendors and currently the only version Samsung wants to sell here.

Not sure about the Uk but probably the same deal.

I would buy this phone if you could get the 8 core and 128gig LTE version but they probably aren't in production and the only market I know of with them is the south korean market with that phone.

So while a lot of people probably would buy the phone you can't get the version most people want in their market so are waiting (like me) or looking at other phones.

It seems the marketing have over hyped something that isn't being sold instead of showing what will be sold. Not sure where you heard that head-up-your-ass comment but I never did and i dare say not manys other did as well so your comment in a load of malarky.

I totally agree with the first comment!!!

8.6.2013 12:58 #7

Interestx

Originally posted by PraisesToAllah: I speak for many people and I can say with great pride that I am happy with my S2. I updated it to Jellybean earlier this year and I am happy. I don't need the extra smart features. It handles JB really well and I don't have any slowing down whatsoever.

I wouldn't buy a new phone until I have exhausted my S2 =] +1.

The SGS2 is a great phone, I know people with the S3 and I know I'm missing out on nothing there (that I care about anyways) I expect the S4 story to be similar.
I'll probably update with another mint condition older model for a song compared to the then latest & greatest in 3yrs or so.

8.6.2013 12:59 #8

A5J4DX

Originally posted by ZeusAV: Not too surprised. The S4 doesn't offer much over the S3 to make people feel like they need to upgrade. true even though I've still upgraded due to processing power

8.6.2013 13:41 #9

robertmro

This has gotten so ridiculous.
Wall Street expects a new miracle each week.

8.6.2013 15:49 #10

ibmeubu

I have the S3. I love it. I would probably update to the S4 but I can't without paying a huge price. I know that I have no one to blame but my self but, I have Verizon and I can only change my phone once every 2 years. I think that that sucks but Verizon really does have the best service. I also have 5 accounts linked to mine. Everyone in my family has different expiration dates and it makes it hard to switch to another carrier even if I wanted to. Lucky for me I have a phone that I'm happy with.

rap

8.6.2013 18:40 #11

omendata

Its the memory thing thats got folks running scared.
Personally I think 8GB is more than enough for a sensible
number of programs installed with all your data on an encrypted sd card.

Anyone storing large amounts of personal data on an unencrypted internal memory or external sd card must be mad - once a criminal has your phone they dont just sell it they datamine it for your home address , phone , bank accounts , passwords - i would never ever store any of this ona mobile phone - even the contact numbers on your telephone list can be a goldmine for ne-er do wells!

8.6.2013 18:49 #12

ToadWiz

Originally posted by xtago: I would buy this phone if you could get the 8 core and 128gig LTE version but they probably aren't in production and the only market I know of with them is the south korean market with that phone. You are absolutely right. I'm ready to buy the 8-core, 128 gig phone tomorrow. Samsung, are you listening?

There's no justice; there's just us.

8.6.2013 20:21 #13

xboxd00d

I have the gs3 and am happy with it, also my contract has another 18 month's remaining, but if it expired soon I'm not sure I would upgrade to the gs4, I would look at all the android offerings cos as someone previously said the differences are not massive, but I didn't expect their to be, phones r very advanced now and I wonder if it can go any further!
I do think Samsung will remain big players tho, the flexible LCD they r working on will be mental!!!

"Trying is the first step towards Failure" Homer.J.Simpson

9.6.2013 02:46 #14

h0g1e

S4 sales are probably slower because the S3 is such a great phone, and everyone has one already!

9.6.2013 04:45 #15

IguanaC64

Yep...I'll probably be eligible for an upgrade when the S5 rolls around. Waiting patiently!

9.6.2013 18:15 #16

kutulu1

It's not surprising considering that they have more competition to deal with now that Blackberry has finally upped their game.

9.6.2013 20:37 #17

Jemborg

Super-profits are always short-lived.

I tend to agree with both points of view. Their older phones are still great and many are under contract AND there are too many compromise devices (from everybody not just Sammy) that are downgrades from the standard people want. Though I personally would prefer a faster quad-core to a slower octo-core.

@ hearme0
Just because your anonymous on the internet mate... :/

Its a lot easier being righteous than right.

9.6.2013 22:34 #18

jolo

Simply said, it is too expensive !!
It is $100 more expensive than it should be.
As someone who purchases a Samsung Galaxy Tab, I can tell you that there are many like me who were stung by Samsung's awful support and ignoring their customers on promised upgrades and enhancements.

10.6.2013 05:56 #19

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