Unfortunately for shareholders, Samsung didn’t end the month of June in very good shape. In fact, the electronics maker’s stock fell 12.7 percent this past month. That’s the largest drop Samsung’s seen since May of last year. The new lower numbers come as a result of the poor performance of the company’s new Galaxy S4 smart phone.
The Galaxy S4 is a new and updated version of the largely popular S3. But it turns out that consumers just aren’t buying it. According to industry experts, the poor sales of the S4 come as a result of consumer’s reluctance to shell out money on a device which has few new features that aren’t already found on its predecessor. Samsung isn’t alone in this plight however. Apple’s iPhone 5 has also struggled to make significant headway, and the company’s stock has also taken a hit due to slow sales.
What’s next in the Mobile Market?
The future for mobile technologies is no longer set in stone. A few years ago, Apple was a dominant force, and yet they’ve seen this dominance undermined by Samsung. Similarly, Samsung has experienced heavy growth in the last few years but seems to have stalled a bit with their latest high-end offering in the form of the S4. Many experts feel that emerging Chinese companies will be the biggest threat to the continued dominance of both of these electronics manufacturers. Both Apple and Samsung have plans to diversify their product line, offering lower-priced devices which may fair better in emerging markets.