I thought that I had written recently about the topic that I wanted to cover today, but looking back through my recent 343s, it seems not!
We have covered Samsung a lot in recent weeks as the firm has hit some real issues in maintaining its success in the smartphone market. Now, I’m a big fan of Samsung’s mobile devices, I have a Galaxy 4 smartphone and a Tab S tablet, both of which have very nice displays (of course). I have been known to describe my phone as “my precious”!
However, Samsung has struggled to develop real uniqueness in its phones. It added software and interface features to the basic Android system, but these were not very popular, and a little while ago, the firm went back to supplying “vanilla” Android, although it also delivers some extra and modified apps with the devices. Unfortunately, the combination of the amazing developments in the Chinese smartphone assembly and engineering businesses (helped by making things for companies such as Apple), and the fact that almost anybody can get access to Android, is making it increasingly difficult to differentiate at the device level.
At IBC and Gitex, I saw mobile phones from Vestel and Asbis (with the Prestigio brand) that looked extremely good and not very different from the Samsung products (although I didn’t do a side by side comparison). I also found at Gitex that I needed a second phone as I wanted to have a dual sim device for using a local data sim when I’m outside Europe. I bought a very cheap Lenovo Android smartphone. Of course, it’s not as good or attractive as the Samsung, but it is very functional and runs the apps I really need. I realised that I could probably manage perfectly well with this kind of phone. Others with limited incomes are coming to the same conclusion.
Samsung’s big problem, in my opinion, is that it has failed to build a “platform” for software and apps. The firm has some unique apps, but not many compared to the variety on the Google Play store. This lack of a platform is in stark contrast to Apple. Apple users love their iPhones, but my belief is that it’s the overall experience of hardware and apps that they love, not just the hardware.
Samsung has tried to develop its own platform – the Bada platform was announced in 2010 and phones using the software were launched then. Some apps were developed, but the platform didn’t really take off and eventually it was combined with the Tizen platform in February 2013. However, the expected launch of a Tizen phone at Mobile World didn’t come to pass and so far it seems to have mainly been used in the Gear 2 smartwatch, although there is talk of a phone for India.
Apple, of course, is a master of platforms, as are Microsoft, Apple, Google and Intel. However, despite several attempts, Samsung has not demonstrated that it can build one of its own. It is trying to build a platform for digital signage, and it has something of a platform in Smart TV as a consequence of its solid TV market share. We don’t hear great support for the digital signage platform, but Samsung seems to have a “closed” idea for this – it seems to only want certain companies to be partners and, of course, the platform is not available to other brands. I’m not convinced that this will lead to a well supported platform.
Samsung is a fantastic organisation that is capable of developing superb technology and products, but I have been saying for some time that the way that the company works that makes it successful in these areas may work against it when it tries to co-ordinate and manage a platform with partners.
As the song says, “The very things that make you rich, make you poor”.
Bob
