Samsung has used smartphone buyers in previous years to seeing a wide variety of Galaxy-branded smartphone and tablet versions in stores, as the company tried to meet all the various smartphone requirements customers might have, both when it comes to features and prices. While the smartphone spam strategy worked well in Samsung’s favor for a few years, helping the Korean giant get a large share of the Android market by selling plenty of entry-level and mid-range handsets on top of flagship devices, that might not be enough for the company anymore, whose mobile division isn’t as profitable as it used to be.
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As a direct result, Samsung will cut down its smartphone models by up to 30% next year, The Wall Street Journal has learned.
Samsung confirmed its intention to cut costs in the future, in order to fight declining mobile profits, with Samsung’s head of investor relations Robert Yi revealing during a presentation in New York that the company “would cut the number of models by about 25% to 30%.” A Samsung spokesman on Tuesday further confirmed Yi’s remarks, but Samsung is yet to mention exactly what family lines will get the axe moving forward.
In addition to cutting down costs, Samsung is also making some significant smartphone design changes. The company is getting ready to launch its first metal Galaxy handsets in various markets, and is said to be designing the upcoming Galaxy S6 flagship from scratch, rather than improving on previous designs.
