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Smartphones Weigh On Samsung Electronics As Guidance Disappoints


Ron Burgundy
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A man walks out of Samsung Electronics' headquarters in SeoulBy Se Young Lee SEOUL (Reuters) - Samsung Electronics Co Ltd on Tuesday issued unexpectedly weak quarterly earnings guidance which put it on track for its worst results in two years and cast doubt on the smartphone leader's strategy against cheaper Chinese rivals. Though the South Korean company said it saw better business conditions in the third quarter, it faces slowing market growth, intensifying price competition at the lower end and the looming threat of Apple Inc's next iPhone. "The earnings deliver a harsh reality check to Samsung that it is not Apple, but Samsung. "Samsung needs to review its smartphone strategy," he said.




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