Investors see Samsung’s lack of innovation drive

by ddos ·

According to News NCR, Hedge funds Petra Capital Management, Dalton Investments, and investors expressed concern about Samsung’s legacy. The belief that top management has not grasped the core of Samsung’s current problems, leaving the company with a lack of incentive to innovate and prioritize faster growth and higher returns, has caused multiple divisions, including Exynos, to fall into internal conflict and eventually develop frustrated.

Exynos 2200 Xclipse GPU

“Designing their own chips requires creativity and engineering prowess but Samsung’s risk-averse culture has deepened under Lee Jae-yong’s leadership, with engineers avoiding new attempts at innovation,” stated Chan Lee, managing associate at Seoul-based Petra Capital Management.

A Samsung engineer allegedly wrote to management in April that Samsung researchers have been under monumental time stress to satisfy “impossible” targets to develop new expertise and merchandise, and that “a sense of failure” permeated the organization.

Samsung said in its recent earnings conference that it is currently restructuring the model of the SoC business and is developing a plan to strengthen our mid- to long-term competitiveness in order to strengthen the competitiveness of the next-generation Exynos. Although Samsung denied the rumors of abandoning the development of the Exynos series, it cannot change the current predicament, and it takes a lot of effort to solve these real problems. It is rumored that Samsung’s Galaxy S23 series next year will not be equipped with Exynos 2300, and will all use Qualcomm’s solution. It may take Samsung a year or more to get back on the slope.

Tags: Exynos 2300Samsung