>> Samsung unveiled its latest gadgets this week at the Consumer Electronics Show in Las Vegas. But it seems to have joined Apple in the ranks of troubled tech giants. On Tuesday, it warned profits would be done almost 30% in the latest quarter. The Korean firm says a slide in demand for chips is to blame.
It also warn that profits would remain weak in the coming months. New Smart phones due to be released in the second half of 2019, it’s earliest hope for an upturn. Samsung is the world’s biggest maker of smart phones and semiconductors. The drop in profits comes a week after Apple made the rare move of cutting it’s earning’s forecast, and the two stories are likely related.
Samsung is a big supplier to its US rival. Both firms also face similar challenges. Demand in China, the biggest market for smart phones, shows signs of going soft. Competition from Chinese brands including Huawei is also on the rise. Then there is concern over the impact of the US-China trade war.
It's all a negative for investors. Samsung shares down by almost a quarter last year. On Tuesday, the stock was off a fresh 1.7%