- Samsung faces declining shipments due to lower-end device performance.
- Q2 2023: Samsung shipped 55M units, down from the previous quarter.
- Analysts predict 230-240M units shipped in 2023; lower than the target.
Samsung, renowned as the leading Android company and the world’s largest smartphone manufacturer, seems to be encountering some hurdles in 2023, as reported by Phone Arena. While the Galaxy S23 Trio, especially the Ultra model, achieved remarkable sales, there are other factors contributing to a less favorable situation.
Samsung has faced highs and lows earlier also, so by that logic this news is not very surprising. From April to June 2023, almost 55 million units were shipped by the tech giant. This shows a decline when compared to the last quarter of January to March, and also the last year of the same period Samsung shipped 7.5 million more units.
Unfortunately, these downward trends might persist throughout the year, according to expert predictions. In 2022, Samsung shipped around 260 million units, but analysts foresee that the numbers for this year will range from 230 million to 240 million units. The target set by Samsung earlier this year was to sell 270 million units in 2023.
The major reason for the decline in shipments appears to be the declining demand for Samsung’s mid-range and lower-range devices like the Galaxy A series. The decline in shipments can be attributed to the performance of Samsung’s lower-end and mid-range devices, specifically the Galaxy A series of phones. Although the Galaxy S phones enjoy significant popularity, the Galaxy A series accounts for approximately 70% of Samsung’s total smartphone shipments. As these devices experience sluggish performance, it is expected that the overall number of shipments will decrease.
Nevertheless, there is optimism for Samsung’s recovery as the company prepares to unveil the highly anticipated Galaxy Z Flip 5 and Galaxy Z Fold 5. These upcoming phones have generated significant excitement and hold the potential to boost Samsung’s sales figures. Only time will tell if these new devices can help the company overcome the current challenges and maintain profitability.