Samsung Turns to Profits Over Growth

A source speaking to the Korea Times has said that Samsung is planning to change its mobile strategy. The shift comes amidst a falling smartphone market and low profits.

An unnamed executive at Samsung said that the company is “preparing for a post-smartphone era”, and the handset unit has “identified profitability as a priority over growth.” However, it will make efforts to maintain its current level of market share, while cutting the number of budget models it produces.

It is expected that the move will boost profit margins by up to 17% in Q2’16, from 15.8% in Q1.