Samsung and Huawei reduce smartphone production

Apple is not the only smartphone company that has problems with sales at the moment, those from Samsung and Huawei being in the same situation and taking the same decision to reduce the production of smartphones due to the decreasing demand for premium smart phones.

According to some Asian sources, Samsung would have reduced smartphone production by up to 20% for the end of the year, Koreans estimating that sales will be much lower than they would have anticipated a few months ago, and this even though the Samsung Galaxy S7 is very popular again Galaxy Note 7 will be released in August.

Samsung Galaxy S7 managed to seriously increase the sales of smartphones for the Samsung company, but the Koreans anticipate the fact that the iPhone 7 will seriously affect their sales of premium smartphones, so they reduce their production in advance in order not to have too many stocks for unwanted products.

Huawei seems to have the same problem, but in the case of the Chinese there is no information regarding the percentage by which production will be reduced, but we are probably talking about a figure similar to the one announced for the Samsung company, the interest in premium smartphones being equally low in both situations.

Some leading Android smartphone vendors including Samsung Electronics and Huawei have lowered their shipment targets for the third quarter as well as for the entire year of 2016 due to slacking demand for high-end smartphones globally. Samsung and Huawei both reportedly informed downstream suppliers to reduce their inventories of parts and components prepared for the third quarter.

Samsung and Huawei are two of the 3 largest smartphone manufacturers on the planet, with Apple completing this podium, and although the Chinese had a very good 2015 with a very large increase in sales, 2016 seems to be a year with too many challenges. big for them, at least until now.

No one knows how sales will evolve in 2016 for these two companies, but there is a very high chance that neither of them will even reach their updated goals if users continue to avoid premium smart mobile phones.