Samsung’s latest quarterly earnings confirm what analysts were expecting: the Galaxy S9’s sales aren’t so hot.
In Samsung’s just released Q2 report, the South Korean electronics conglomerate missed the mark on Galaxy S9 sales targets. The smartphone, which was released at the end of last quarter, accounts for a major chunk of Samsung’s 4 percent year on year drop in revenue.
Earlier this month, analysts warned that Samsung’s Galaxy S9 smartphone could be the worst selling Galaxy S series phone since the release of the Galaxy S3 in 2012. Analysts were estimating that the smartphone giant only shipped around 31 million Galaxy S9 phones since its release in March.
Samsung attributed the poor Galaxy phone sales to a few factors, including rising competition in the mobile phone market as well as its phasing out of lower end models of the phone.
Smartphones weren’t the only area reporting weaker-than-expected sales for Samsung. The company also laid the blame at “weak demand” for its flexible OLED display panels.
One area of interest that showed positive growth for Samsung was its TV business, which the company credited “a major global soccer event” for the boost in sales. The World Cup’s assist was felt even in Samsung’s premium television products, such as QLED and ultra-large screen TVs.
To bounce back from sluggish sales, Samsung announced it will be introducing a new Galaxy Note a little bit earlier than usual. In addition a sooner-than-expected launch date for its next generation Galaxy Note model, Samsung will work towards more competitive pricing and quicker adoption of future technology overall, throughout all of its lines of product.