Samsung lost global market share in H1 2014, just as it had predicted

Samsung lost global market share in H1 2014, just as it had predicted
When Samsung released its financial report for the fiscal quarter that ended June 30, it predicted that its market share will be experiencing a decline. The giant's chief of financial affairs later confirmed that Samsung is prepping for some troubles in paradise. Today, the Korea-based company released its bi-annual business report, which reveals the market share damage that Samsung has experienced throughout the first half of the year.

According to this report, the global market share of the giant for the period dropped 1.9% year-over-year – from 26.8% in H1 2013 to 24.9% in H1 2014. For the first six months of this year alone, Sammy has retailed a total of 223.69 million mobile devices. The giant's handset business has, in fact, pulled down the total revenue of the company 19.5%, which means that it has brought “just” $6.11 billion home – way less than it's used to.

We have talked numerous times about the most probable and sound reasons for this decline. Just a few among them point out that the rise of some China-based competitors have successfully eaten the company's market presence in both the entry-level and mid-range departments, while the saturation of the high-end smartphone market and the Samsung Galaxy S5 have reportedly also contributed to the downward fall of the revenue.

Samsung is already rumored to be taking the necessary course of action and get itself out of the shifting sands. The Galaxy Note 4, which will be officially announced in a couple of weeks' time, is probably endowed with all of Samsung's hopes for a quick regain of its previous market share stats

source: Yonhap News via Android Authority



1. lolatfailphones

Posts: 224; Member since: Apr 08, 2013

Stop making so much crappy phones each year

2. techspace

Posts: 1037; Member since: Sep 03, 2012

and how would that help them?

5. Duketytz

Posts: 534; Member since: Nov 28, 2013

Make less phones with more premium designs for the flagships. I don't really care if it's cheap for the lower-end but if it's for a flagship device, it better be darn stunning!

10. xperiaDROID

Posts: 5629; Member since: Mar 08, 2013

For example, the good old Galaxy S2 and the Wave series.

22. techspace

Posts: 1037; Member since: Sep 03, 2012

You are saying that improving the design will make them more popular, i agree with you but making too many phones isn't stopping them from making better flagships.

48. sgodsell

Posts: 7360; Member since: Mar 16, 2013

I think its a changing market still. With Motorola and other companies that brought mid to high end specs at low and affordable prices has changed the market forever. Look at the Moto G for example. You could get 3 Moto G's for the price of one iPhone. Not to mention it was water and dust resistant with a HD display. This trend is still continuing today with less expensive handsets that offer a great experience. This did so well for Motorola that they doubled their sales in the last quarter alone.

17. JakeLee

Posts: 1021; Member since: Nov 02, 2013

The Galaxy Alpha with FHD and a higher cap battery should have been the GS5.

26. PapaSmurf

Posts: 10457; Member since: May 14, 2012

I'll take a IP67 rated device over the Alpha any day thank you very much.

45. nebsif

Posts: 37; Member since: Jul 27, 2014

with that flap? no tnx. look at sharp aquos phones, almost non existant bezels, water proofing and no flaps. Sammy went the cheapest (from them) way to waterproof the S5 which resulted in a swollen S4. Hope they learned.. I want a sammy (amoled) device worth my money pls

47. PapaSmurf

Posts: 10457; Member since: May 14, 2012

I like everything about the S5. If I could change one thing, I would have added an extra gig of RAM. I multitask like there's no tomorrow.

30. LetsBeHonest

Posts: 1548; Member since: Jun 04, 2013

Releasing many phones okay but they should also update it to latest versions. also a change in design language is also welcome . More premium looking phones will be nice . But premium doesn't mean metal body but polycarbonate like on htc one x and Lumias are also nice too. and less bloating on low-mid range phones since many shows slight lag on Samsung devices. So they should keep the performance excellent even in low end devices by optimizing it software to hardware.

42. techspace

Posts: 1037; Member since: Sep 03, 2012

Yes, they should improve the design but I don't think they can do better by making low end phones with stock android because of 'android one' and the Chinese they are trying to differentiate themselves from the others with the features that are only available on their devices... they can't avoid bloatware.

71. naittosan

Posts: 239; Member since: Jun 28, 2014

Well first I wouldn't of come out without that lame Alpha to go up against iPhone 6. It should of had a 5in high resolution, 805 proc, 3g of ram, and 32 g of expandable memory, to start with.

15. maherk

Posts: 6870; Member since: Feb 10, 2012

Yet they managed to sell 223.69 crappy phones right? Stop playing the premium material card, the majority of the customers aren't brainwashed with all this media crap that aluminum is premium and anything else sucks. If it was this premium, you wouldn't find it used on a Pepsi can.

46. nebsif

Posts: 37; Member since: Jul 27, 2014

its not about aluminium, sadly its not even about looking good, its all about not being an eye sore like the S5. edit: btw it took so long to get rid of "fake" design, uhh I forgot the name.. like the old iOS design, leather textures etc, anyway till we got rid of that in software and every1 is embracing more mature, flat and modern design, sammy still insists on using fake leather and metal (that peeling "metal" band on all pre alpha phones).. It just screams cheap.

52. Ashoaib

Posts: 3282; Member since: Nov 15, 2013

so many devices with the same design cues... what should samsung expect? design seems like stagnant... by looks almost all phones look the same which is infact kinda boring... if we talk about low end, then the people who are looking for cheaper phones can invest in more features with same amount of money which samsung offers with less specs... samsung really sucks at low end as compare to chinese counter parts... I had a chinese phone with 2gb ram, 1.3quad core cpu, 16gb of native storage, 3200mah battery(spare battery was included), 8mp camera(though the night shots sucks) 720p display and the price was $279... can samsung offer these specs in $300... why not the market share will decline?

66. cncrim

Posts: 1588; Member since: Aug 15, 2011

Most people probably forget that today market is not what use to be, smartphone was new and no one have one. However roll forward today smartphone have satuare the market, and keep in mind the average phone life in america is 1-3 years because we have a lucky of subdize plus cheaper price compare everywhere else around the world. Many other place around the globe phone average 2.5-4 years and take example place like africa and and india the smartphone life is 5-8 years before replace.......... you know the point and do the math. The only way to get out of this mess is new innovation not new design or material.

69. fanboy1974

Posts: 1345; Member since: Nov 12, 2011

I don't think 20 phones down to 2 phones would make a difference. The market is starting to favor cheap Android phones that are just as capable as any $600 plus Samsung or Apple flagship. Just look at the recent reports of Samsung losing market share yet Android gaining. I've been a Samsung owner for 3 years but I care more about Android. I could have a phone from Motorola or Google in the next few months so why lose sleep over one OEM?

75. verbalize

Posts: 150; Member since: May 03, 2013

Samsung will not recover from this. 1st they have crappy phones from my own exsperiance. 2nd you start your own OS and not go to a free give away of a OS. Now you are competing against every cheap company including ((Chineese )who uses Android. Of course they are late to the party to be innovative to create there own OS. If it evers catch on they might have a slight chance to be in the top 3 phone manufacturers.

3. chunky1x

Posts: 270; Member since: Mar 28, 2010

Time to push some big innovation Samsung.

53. Ashoaib

Posts: 3282; Member since: Nov 15, 2013

being innovative is not the problem for samsung... they have one of the biggest R&D budget in market... they have to work out the design... most of the people can see better than they can think... if the looks are not inspiring then laymen usually think that the phone will not be good... it is good that most of us on PA are well informed about the lastest tech and specs... we can argue or fight with each other over the specs n features of a particular phone which increase our knowledge but not everyone is a PA user... there is a huge general consumer base who doesnt go deep into the specs, their buying behavior depends on some other factors, this is the reason why iphone is so popular among those fokes who have money in their pocket but dont know anything about the inside components of the phone

57. mrochester

Posts: 997; Member since: Aug 17, 2014

And even those of us who do know about the inside components of the phone chose to buy iPhones, simply because what's inside your phone is only part of the story (the OS and ecosystem being the more important part). I think innovation is Samsung's problem; they never seem to make anything that takes the world by storm and changes the direction of the entire consumer smartphone market; certainly not in the way Apple do.

62. Ashoaib

Posts: 3282; Member since: Nov 15, 2013

yes even those who have insight buy iphone but at the moment I am pointing out those people who buy just bcoz its iphone, and they have money to spend... huge number of ppl buy like this

73. mrochester

Posts: 997; Member since: Aug 17, 2014

Well I don't think that group of people accounts for very many at all.

80. Ashoaib

Posts: 3282; Member since: Nov 15, 2013

then in this case you are not aware about general users... I will say that your information is lacking alot... I am working in a sales business where I meet 25-50 people daily and sometime just for my knowledge I do inquire them why they are having the particular phone... most of iphones owners give those type of answers which validate my above comments... this is my praticle experience, not just an assumption... there are some people as well who really have good insight but I am not going to quote few as an example.. I am talking about those people who have money and own flagship phones and buy iphone bcoz its iphone, nothing more and believe me they are huge in numbers

81. mrochester

Posts: 997; Member since: Aug 17, 2014

Your anecdotal evidence is essentially meaningless anyway by it's very nature. I don't think there are very many people at all who buy an iPhone just because it's an iPhone; iPhone's are a dime a dozen, there's absolutely nothing exclusive about buying or owning an iPhone, so the whole premise of buying one just because of what it is doesn't make sense.

4. darkkjedii

Posts: 31029; Member since: Feb 05, 2011

Samsung will be just fine. That company's a juggernaut, they'll slide a bit just like Apple, then rebound with a few strategic changes. No biggie.

16. JakeLee

Posts: 1021; Member since: Nov 02, 2013

True, only dozens of CxO will get fired, including the CEO.

23. darkkjedii

Posts: 31029; Member since: Feb 05, 2011


31. Finalflash

Posts: 4063; Member since: Jul 23, 2013

Never hurts to cull some of the dead weight. MS took 20 years to do that and they're suffering from it. Apple is currently stacked with dinosaurs and that is showing in their post Jobs products. Firing bloated CEOs is the best way to help a company expand into a new era.

Latest Stories

This copy is for your personal, non-commercial use only. You can order presentation-ready copies for distribution to your colleagues, clients or customers at or use the Reprints & Permissions tool that appears at the bottom of each web page. Visit for samples and additional information.