The Galaxy S4 was initially expected to sell in 80 million units by the end of the year. But yesterday JPMorgan Chase & Co gave a statement that the demand for the flagship will go on a decreasing demand curve. Based on that statement, Samsung’s share value declined with 6.2% meaning o total of $12 billion, equaling the value previously owned on August 27.
Analyst JJ Park stated that the demand in Europe for the S4 is decreasing and so are the sales, also JPMorgan cut the price-estimate for Samsung by 9.5% lowering the 2013 estimates with 9%.
The S4 was the fastest selling device in the history of Samsung but apparently that was just good momentum as the sales are decreasing. This correlates with the decreasing trend of flagship devices all over the world. Apparently low and mid range devices are getting in front this year. The 80 million sales target now turns into a 60 million one for the Korean giant.
If Samsung doesn’t step up with an innovative device, something that’s completely new on the market, they will still be an extremely wealthy and powerful company bur rivals will a lot easier step in front, taking a huge part of the market back.
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