The History of Samsung

Samsung began as a small trading company in the year 1938 by Lee Byung-Full with only 30000 won, which equals $27 USD in Taegu, Korea. At that time, the company only had 40 employees and it began as a grocery store. Due to its success, the company expanded to Seoul and then the Korean War broke out. After the end of the war, Lee started a sugar refinery and then expanded into textile and construction.

Initial stages of Samsung electronics

The company kept growing and in the year 1969 and Samsung entered into the electronic business with help of Sanyo. It began making its cheap microwave ovens, TVs and other consumer products for electronic companies such as General Electric. During the 1970s, the company established Samsung Petrochemical and then Samsung heavy industry. In 1980, Samsung begins producing electrical products under its own brand name.

In the year 1980 Samsung ventured into telecommunications industry when they purchased Hanguk Jeonja Tongsin. During their initial time in the telecommunications industry, they only made telephone switchboards however, they soon begin making telephones and fax systems. By the year 1983 they begin making their personal computer and eventually they shifted to making the mobile phones.

The mobile phone division was merged with Samsung electronics because they were largely investing in the mobile phone business during the 1980s. Soon the company expanded its reach to Tokyo, England, Portugal, New York as well as Austin Texas.

Samsung becoming Major Corporation

Samsung was expanding throughout the 1990s and became an international corporation during that time. After achieving success, construction and engineering division Samsung started focusing on the electronics in the year 1993. During this time, Samsung also became the second largest manufacturer of chips and Samsung electronics also invested heavily in the LCD technology, which paid off. They became the largest LCD manufacturer in the world by the year 2005 and started supplying LCD to most of the mobile phone companies.

Samsung electronics are now considered top notch. Samsung not only changed the perception of the public about them self but also the Korean products.

Initial stages of Samsung Mobile Phones

Samsung achieved great success in mobile phones but in the start, the company had some rough time. Samsung has begun its mobile telecommunication business in the year 1983. In the year 1986, the company released its first build-in car phone called SC-100 but due to its quality, it did not achieve any success. Despite the failure, Samsung was determined to stay in the mobile phone business. Motorola was the leading mobile manufacturer at that time so Samsung bought 10 of their mobile phones for benchmarking. In 1988 after two years of hard work, the company built its first mobile phone SH-100. This phone was not manufactured in large quantities and was only confined to Korea.

On June 7, 1993, all Samsung executives were gathered and they were given instruction to make cell phones that could compete with Motorola by the year 1994 or else Samsung will give up on the mobile phone business.

In the November of 1993, the company revealed its new model named SH-700, which was lighter than any other company’s model, and its design was compact. In the October of the year 1994, SH-760 mobile phone was introduced which was the updated version of SH-700. The brand name of this new mobile was Any call. During this time, Samsung wanted to change the perception of customers about their cell phones and wanted to build their trust.

CDMA era

In the year, 1996 Samsung made its first CDMA cell phone. To keep up with the other companies and the latest trends. The first digital SCH-100 was made which was light, slim and had a clearer voice communication system. Before people knew, Samsung had become the leader in PCL (Personal Communication Service) market. Samsung’s first PCS phone called SCH-1100 was introduced which was lightweight, had the ability to capture faint sounds and has enhanced battery life.

During the year, 1996 Samsung signed a contract with sprint, which is an American CDMA carrier. According to the contract, Samsung would provide PCS phones for three years under the brand name Sprint-Samsung. After that, Samsung expanded into Hong Kong and Brazil.

By the end of the year 1997, which was, one year after CDMA service was launched Samsung had dominated the market with 57% market share in CDMA and 58% market shares in PCS.

GSM era

In the year 1999, Samsung has more than 50% shares in the CDMA market but CDMA market was smaller compared to the GSM market because GSM market was 70% in the total worldwide telecommunications market. To keep up with the competition Samsung entered into making mobile phones for GSM market.

They made their first GSM cell phone called SGH-200 for European customers but this model didn’t perform well as much as the company’s CDMA phones. It was difficult for an entry-level company to keep up with the old players of GSM. The next model did not perform well either so they changed the design of their cellphones to suit the taste of European customers. In the year, 1998 Samsung introduced SGH-600, which performed quite well in the European market.

In the year, 2008 Samsung telecommunication declared a new strategy. According to this strategy, the focus was shifted to consumer marketing. Samsung mobiles were divided into six different types of mobile phones, which include Multimedia, Style, Essential, Business, Connected and Infotainment

Smart Phone Era

Samsung mobile division introduced its first smartphone Samsung Galaxy in the year 2009, which put them behind Apple because Apple at that time was the lead manufacturer of smartphones. After that that the company released another smartphone in the same year but both of these mobiles did not achieve the success that the company was hoping for.

With the release of Samsung Galaxy S, the company took the market by storm and it became one of Samsung’s most famous smartphone. The company sold more than 25 million units of the cell phone. The company due to its success made different variations of Galaxy S.

In the October of 2011, Samsung released its first phablet Galaxy Note that was the combination of tablet and mobile phone. It also had an S Pen, which could be used to navigate the user interface of the mobile. 10 million unit of Galaxy note has been sold.

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How Did Samsung Come to Rule the Smartphone Industry?

Innovation and Business savvy technology have turned Samsung to be the leader in smartphone industry.

Despite the existence of dozens of manufacturers and brands of smartphones it seems that Samsung is always on the top in the headlines.

If you are also planning to buy a new phone, then there are chances that you are deciding between the latest and popular model from Samsung or might be Apple. Though there are countless other options available out there but there is very less probability that those all are on your radar. Samsung is very well-known name and almost all people across the globe are aware about it. When it comes to smartphones that are affordable, durable and feature-rich, then Samsung is the only brand people trust across the globe. Apple provides competitive quality and features but its price is a bit on the high range and so not that affordable.

This company is always on the side of success. Finance and Tech news reporter reports it to be always ahead in the smartphone industry selling curve. The questions like which company is performing better? Which company is selling more units? For all this there is only one answer and that is Samsung.

Typically, Samsung wins over other brands for the total number of phones which are sold and often make up large revenue. At the end of 2017 the figures recorded are as below:

Samsung is leading with 21.9% market share in the smartphone sales worldwide according to the data released on Tuesday by the researcher TrendForce. Samsung shipped more than 310 million units during this period according to TrendForce. That was enough to go ahead of the Apple’s iPhone which secured a market share of 15.2% in 2017. Samsung recorded a sale of 215 million units in excess as compared to iPhone.

It is clear that Apple and Samsung are in neck to neck competition in the smartphone industry. It is also no wonder that the competition is fierce to introduce the cooler, better and newer smartphone.

These kings of the smartphone industry did not get their thrones overnight but how did it happen? It is just that the company keep on winning again and again.

Stirrings of Rivalry

In 2007, Apple had released the first iPhone which was effectively the launch of the modern smartphone industry. After three years Samsung had come up with the introduction of the Galaxy S. After that time the company has grown into the industry giant and leading the way in the development and innovation of smartphones. Today Samsung is holding the top record in selling smartphone units.  

Samsung have continued to expand over the past decade and has remained at the forefront in the smartphone market.

The reason for success is that the company is producing the remarkable phones from start and there is no compromise on quality. In fact there was a great deal of research involved and so the Galaxy S appeared 3 years after the original iPhone, and has very little difference from its opponent. Apple has also accused Samsung for blatantly copying their design of the phone. Some of the features which they claimed are simply very similar and passing off as coincidence.

This fight for the patents has been waged for several years and eventually then they came closer to their product quality this year when both smartphone brands have reached their behemoths and then settlement. By the way the details of the settlement are still unknown.

But despite the battles, Samsung is continuously releasing and creating remarkable phones over the years. During this time many other smartphone manufacturers have launched innovative smartphones, but they have not lasted much. But Samsung has always remained ahead in the battle.

South Korean Tech Giant

Clearly, Samsung is doing very well in the smartphone industry.

But Samsung is not just successful in the genre of smartphone. It has successfully spread its brand value across the industry. The brand is also known for its excellence in screen technology and chip development. Samsung is also a reputed name in the production of household electronics.

When it comes to smartphones then Samsung devices are certainly preferred and are very popular. There are core groups of devoted Samsung fans who are continuously upgrading to the latest products of this brand. Samsung keeps on winning sales of the latest handsets and this is likely because it tends to offer lower price for their high-end flagship smartphones. This good value for products is making the high-end Samsung phones more attractive to the buyers on a budget. Samsung is also offering a much larger range of phones at different price range for its customers which include the high range to mid-tier to the budget range. Some of these models are extraordinarily popular and no doubt they are helping Samsung get its impressive number of sales.

Yet the number of competitors in the market is also increasing. Samsung is struggling more and more to keep a strong hold in the mid-tier and budget sales of the smartphone because there are many more players in this game. There are very few companies who are offering an alternative to the iPhone.

Samsung is staying ahead perhaps by putting finger in all the different pies. Its investment in other electronics have set aside from all other smartphones and helping the brand in diversifying and retaining their leadership in the tech field. Additionally, Samsung is also supplying the chips and various other resources to Apple which are indeed profiting them off gains from their competitor.

Samsung is operating differently from its rival Apple. Samsung is early adapter of TRIZ a methodology for systematic problem solving that was originated in Russia. This has also expanded in repeatable methodology that is working for the company again and again. Not only this is advantageous but also Samsung is on the hunt for top tier talent. They are doing a great job in recruiting and spotting the leading minds and essentially forming creative elite.

This makes Samsung the leader in smartphones and technology industry.