Analysts see Samsung replacing its smartphone chief J.K. Shin this week

Analysts see Samsung replacing its smartphone chief J.K. Shin this week
Samsung's mobile phone division has not been raking in the cash lately, and that could be a problem for its leader, J.K. Shin. The executive became the top man on the mobile totem pole in 2011, guiding the company to the number one spot in global smartphone market share. Since Shin took over, the number of smartphones shipped by Sammy has soared from 94.2 million to 2014's 318.2 million. Revenue more than doubled to 111.8 trillion won last year.

The problems start with the bottom line, which peaked in 2013 at $25 trillion won. That was triple the bottom line figure that Samsung had in 2011 when Shin took over. But this year, analysts expect the division' profits to decline 8.2% to the lowest amount since 2011. This will be the third straight year that the division has reported lower profits, leaving the division's top executive vulnerable. Last year, Shin survived to keep his spot at the top of Samsung's mobile division, but that doesn't appear to be likely this year.

The decision about whether to fire Shin, or move him somewhere else within the company will be made by Samsung Group Vice Chairman Lee Jae Yong. The heir took over control of Samsung last year after his father, Lee Kun Hee, suffered a heart attack. While his father remains alive, the younger Lee cannot be named chairman of the company based on South Korean tradition. But he is expected to eventually get the Chairman title.

Some in the industry expect Samsung to replace Shin with a younger executive, who might be better suited to fix the problem with Samsung's phone division. The thought is that the diversified manufacturer succeeded in revamping its flagship phone, but needs to make some tweaks when it comes to software.


Samsung will conduct the annual review of its executives later this week. Those who are considered to be failing are usually shifted to another division inside the company.

source: Bloomberg

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43 Comments

1. Clars123

Posts: 1078; Member since: Mar 16, 2015

Htc could have really used this....firing the entire band of 'senior' executives

39. spin9

Posts: 310; Member since: May 31, 2014

The point is Samsung. And finaly, this is the admission of failure of the new Samsung philosophy. Stripped the S6/note5 down from the Samsung clasic: versatility. Just to make it a classy android iphone. I remember mr. J.K. Shin saying in the presentation "we are mechanics". Yet no water or dust protection, no user-replaceable battery, no microsd, no fm radio, no IR, no stereo speakers, no side agnostic usb (or usb3)... Well, congrats.

2. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

Whoever takes over, just bring back the IR blaster, and offer the Note 6 in a 128 gig configuration. Oh, and launch the gold and silver ones in America on launch day. C'mon Samsung, no excuses in 2016.

7. shiftt

Posts: 333; Member since: May 03, 2015

Let the Galaxy users say Amen!

18. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

Amen.

29. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Less bloat! System image of 5GB unacceptable. Most brand use less than 3GB.

38. Clars123

Posts: 1078; Member since: Mar 16, 2015

Most brands...such as?

3. DRS1977

Posts: 679; Member since: May 27, 2015

Samsung just doesn't get it. Get rid of Touchwiz and keep Samsung Pay and the camera software and make the rest stock Android. That would bring in Nexus people and a lot more.

6. Bjray

Posts: 199; Member since: May 29, 2014

Samsung doesn't care about Nexus market share. But I get what you're saying.

19. Awalker

Posts: 1977; Member since: Aug 15, 2013

It's not about the Nexus market share. A lot of Android websites and Android enthusiasts trash Samsung because of Touchwiz. If they can get more positive coverage they may be able to turn things around. Friends and family come to me from time to time to ask about phones and I never recommend a Samsung device because of Touchwiz. I've probably recommended the iPhone the most even though I'm an Android guy.

26. willard12 unregistered

When Samsung made Google Play Editions of their most popular devices how well did they do?

40. iushnt

Posts: 3096; Member since: Feb 06, 2013

Great question that answered many questions!!

22. keithtae

Posts: 564; Member since: Mar 25, 2015

No f**king way, I would only use touchwiz rather than stock. You want stock? Get nexus.

35. willywanta

Posts: 502; Member since: Jun 04, 2014

good point

41. iushnt

Posts: 3096; Member since: Feb 06, 2013

Yeah, I wouldn't pay a flagship price for Stock Android..

28. Sidewinder

Posts: 515; Member since: Jan 15, 2015

Excluding the non-geeky people, the tw interface is on of the main selling points of samsung phones. The only reason why people are bitter about it though is because the earlier versions were too heavy and bloated compared to stock Android. I'm a stock lover which reverted back to using tw because it offers more functionality than stock can ever achieve.

34. willywanta

Posts: 502; Member since: Jun 04, 2014

No. Actually, generic people don't care about touchwiz vs stock android. Touchwiz is very feature rich and that's what i like from samsung. Touchwiz is indeed a heavy launcher and that needs work from their engineers. I personally think the appearance of vanilla android is ugly :)

4. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

Continue to refine TouchWiz, it's come a long way and oh so innovative. Making it lighter, and better optimized has been great.

10. Diezparda

Posts: 941; Member since: Oct 23, 2013

Rumour says Google will help em, if that means it become more like stock and less like touchwiz then it's not touchwiz naymore. I like touchwiz and it's more refine this year (though it still has some issue), simplified touchwiz isn't bad but don't remove all useful feature. Touchwiz is touchwiz they are unique in their own way.

12. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

As long as Google doesn't make it too ios like, I'm good. TouchWiz is the best and most innovative skin out there.

16. Diezparda

Posts: 941; Member since: Oct 23, 2013

Yup i tried HTC sense last year since many praised them because it's fluid and more like stock & now i'm stuck with it... Sense is boring and i miss multiwindow so much it has some lag anyway, guess no device is lag free.

17. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

You're right, no device is lag free. I don't go into a purchase thinking of a lag free experience. My Note lags, my iPhone lags, my iPad lags. I've never had a device that didn't, and never will. What I look for, is a consistent performance, and as trouble free as possible. I use multi window all the time, as well as my S-PEN, mostly for smart select. I can't imagine not having a Note anymore. TouchWiz will only get better, as they continue to refine it, while giving it more features. 2016 should be a nice year for tech. Samsung Google, and Apple will be the standouts as usual.

23. DnB925Art

Posts: 1168; Member since: May 23, 2013

Well said and a very fair view that all phones lag/will lag at some point in the future. As long as it's not excessive and constantly happens, it's fine. 2 months in and my Note 5 has been excellent with just a couple of hiccups in these 2 months.

43. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

That's as good a track record, as one could ask for. Mine is along the same lines, Internet stuck a couple times, and that's about it. It had a more glitch free performance than my 6S Plus, and its skinned.

24. Diezparda

Posts: 941; Member since: Oct 23, 2013

I'm using Blackberry phone before Android become popular & my first android device was Galaxy S2 & Note 3 so I never use other android brand except Samsung. The comment section at phonearena often misleading, some people says Samsung lag while iOS, Stock Android, Sense & Xperia device doesn't lag as much as Touchwiz. I have high expectation for them, it makes me want to prove itself but in the end it is untrue. This is why i hate people trolling around or make false impression about a product. Sorry for the long story, let's hope everything meet our expectation next year.

44. darkkjedii

Posts: 31016; Member since: Feb 05, 2011

Bro I've used them all, even had the BB Storm, and I've yet to use a phone that didn't lag. Interestingly enough, the phone I had the least amount of trouble with outside the Note 5, was the Palm Pre. I honestly can't recall any issues at all with it.

5. GreekGeek

Posts: 1276; Member since: Mar 22, 2014

SAMSUNG shouldn't be making 32GB variants on their flagships anymore.

15. PapaSmurf

Posts: 10457; Member since: May 14, 2012

... What? 32GB is fine. 16GB is a problem.

8. Tziggy14

Posts: 624; Member since: Sep 02, 2014

I can't pronounce any of these Samsung leaders' names. lol

9. ameran

Posts: 344; Member since: Dec 04, 2013

I think this is a good move.

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