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Samsung Electronics: Let the "quality" and "quantity" resonate

The world’s largest consumer electronics and the second largest mobile phone maker Samsung Electronics has released the first quarter of this year, reported a net profit of $ 458 million , successfully got rid of the fourth quarter 2008 loss situation. Some analysts believe that the second quarter of this year , Samsung Electronics is expected to reach four times the profit of the previous quarter , the reason for this growth is mainly due to the recovery performance of its semiconductor and LCD industries. More forecasters analysis , the development of China’s 3G industry handset market share increase , will become Samsung’s performance is important to maintain the growth momentum this year .
Tips on business development crisis , the Chinese Samsung CTO ( chief technology officer ) Wang Tong said that while all aspects of product planning , marketing , etc. are all played an important role in overcoming the crisis , but to achieve greater development after emerging from crisis , more attention R & D plays a decisive role.
According to reports, Samsung has been in research and development expenses increased from $ 920 million in 1997 to $ 4.54 billion in 2007 , covering the semiconductor , LCD, communications terminals and systems research and development , as well as digital media product development and other fields.
It is understood that the importance of China is a long-standing business strategy of Samsung, but also its effective support to overcome the crisis of. China Samsung has stressed the need to achieve "from R & D, design, procurement, production and sale of" all aspects of operations are implemented in China’s domestic policies "in China by building a second Samsung" in China. And one of the basic conditions for the implementation of this strategy is the development of localization.
Wang Tong said that since 2005, China Samsung’s R & D investment in terms of both quality and quantity of a lot has changed. From the amount, the R & D institutions in 2005 to 18 at the end of 2008 increased to 23, researchers from 1,300 in 2005 to 3,500 at the end of 2008, total investment of $ 50 million by the end of 2005, growth in 2008 the $ 130 million, and this figure will continue to increase this year. From the quality, the original Korean-developed technology directly used to use, now transformed into a positive for local independent research institution-building. "In the future, we will strengthen the early R & D investment, the proportion of investment from the current 12% to 20% in 2010’s" Wang Tong said.
2008, Samsung hit the 198 million sales success, global market share reached 16.2%, ranking second in the world. As the world’s one of the few able to provide support three 3G standards terminal manufacturers, Samsung Electronics exploit its advantages in terms of communications, semiconductors, displays, etc., to accelerate the process of digital convergence products.
Currently, China is divided into 3G CDMA2000, WCDMA, TD-SCDMA3 standard, while Samsung is one of the few ahead of the layout of all these three kinds of 3G mobile phone technology developed terminal business. TD handsets in the development of eight years, Samsung set up a research and development team of hundreds of people, has invested a billion dollars in funding, which is based on TD Samsung continued to maintain its leading position in the industry. This localization technology advantages and Samsung Electronics combines the advantages of their technology Samsung mobile phones has led to the development of a strong business. It is understood that the first half of this year, China Mobile’s TD terminal tenders were 10 winning products from five vendors, only Samsung has captured four models, ranked first.
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