Samsung’s smartphone business has suffered a big trouble

by ddos · Published · Updated

Last month, it was reported that Samsung lowered its smartphone shipments in 2022 to 260 million units from an expected 300 million units. Even if it does eventually come true, it will be lower than the 2021 shipments (about 270 million units). The COVID-19 epidemic, inflation, supply chain problems, and the global economic downturn have all slashed demand in the smartphone market, forcing Samsung to readjust its plans.

According to Sammobile, the decline in Samsung’s smartphone business appears to be unchanged, with September being the worst month in more than a decade for its supply chain manufacturers. Orders on Samsung’s supply chain have slumped, much less than ever, due to declining smartphone sales.

Galaxy Z Fold 4 camera

A spare parts supplier had to close its factory in September for the first time in the past 15 years. Another manufacturer responsible for filter production halved production for the first time. There is also a camera module supplier that lost about 50% of its average monthly sales in the second quarter of 2022. According to a source, only one of the camera module suppliers has not been hit by Samsung’s smartphone business. Other suppliers all reported double-digit declines in production line operating rates due to sluggish sales and weaker market demand.It is rumored that Samsung will continue to cut orders in the third quarter of this year, which is usually the peak season for suppliers. Some spare parts suppliers said that as market demand continues to decline, Samsung is busy clearing inventory, and the situation may improve by the end of 2022, perhaps order volumes will pick up again.

Tags: Samsung