Samsung May Exceed Apple To Become The Largest Smart Phone Manufacturer

Samsung's expectation is much higher than the industry expected

. Driven by the high-end smart phones and other mobile phones, Samsung has a strong performance in communications. Samsung Galaxy series of smart phones and tablet PCs are facing the fierce competition from Apple iPhone and iPad. Due to the Christmas shopping season is approaching, the investors are also seeking the signs that Samsung's Telecommunications business will continue to grow.

The continued growth of the telecommunications business and the higher profit margins mean a major strategic shift of Samsung Electronics. In the past Samsung Electronics relies mainly on the computer memory business to boost profit growth. Until the last year, Samsung emerges in the smart phone market.

Analysts believe that among Apple's many competitors, Samsung is the most competitive. In the tablet PC market, Samsung is the competitor closest to Apple. In the second quarter of this year, Samsung sold 19 million units of smart phones. And in the third quarter it is expected to reach 28 million units. In the entire 2011 fiscal year, Samsung expects the smart phone sales will reach 60 million units. In the second quarter, Samsung's smart phones sold are only 1 million units less than Apple.

Later this month, Samsung will launch the Galaxy Note smart phone that first based on Microsoft's latest operating system Windows Phone. Galaxy Note is a large-screen mobile phone. The screen size is about 5.3 inches. It will be available later this year. In the Android mobile phone market, Samsung is in the leading position. In driving Samsung's profit growth, Galaxy S II plays an important role in the future as well.

In the past 10 years, Samsung has become the world's top brand. The current market value is about $ 118 billion, higher than the sum market value of Sony, Nokia, RIM, Toshiba and Matsushita.

Since Apple just released iPhone 4S this week, rather than the iPhone 5, the industry analysts believe that this gives Samsung's smart phone business opportunities to continue to grow.

The analyst said: "I previously thought, a new generation of Apple's iPhone will prevent the growth of Samsung mobile phones. But without iPhone 5, iPhone 4S only will not pose pressure on Samsung."

However, as the patent litigation between Samsung and Apple the two companies intensified, some analysts believe that this will be a threat to Samsung's growth of mobile phones and parts business. Apple is also Samsung's largest customer, purchasing chips and the main display from Samsung.

by: Amanda Xia

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