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Posted : 2015-12-01 16:29
Updated : 2015-12-01 18:23

New Galaxy to get 'little overhaul'

By Kim Yoo-chul

Samsung Electronics plans to make a "little overhaul" to its upcoming Galaxy smartphone as it wants to keep making the device more and more competitive while saving costs.

"The venue for unveiling new Galaxy smartphone, tentatively named the Galaxy S7, is still undecided. Though Samsung has so far been preferred to hold its own unpacked event for new products, the S7 will get a little change," a source said, Tuesday.

This decision comes as the global smartphone industry is being reshaped due to the rapid rise of Chinese firms.

That means, according to Samsung sources, increased to overhaul surface design even in flagship products, which Samsung earlier highlighted in the S6 and S6 Edge, may further cost it at a time when the company is pressurized over thinner handset margin.

"As the S6 and S6 Edge represented progress, the S7 will have improvements both in picture quality, performance and other some new features. But because smartphones have already been commoditized, you don't need to spend more on a surface overhaul," another source said by telephone.

"The key point is can consumers enjoy content with enhanced viewing quality and boosted processing speed," he said.

Samsung's chief rival Apple is still taking home most of the smartphone industry profits, though the Cupertino-based outfit has so far made very little change to its iPhone.

Counterpoint, a market research firm, recently said that Samsung's market share gains have come at the low-end in the Galaxy J series during the third quarter of this year, strengthening views that price and hardware-initiated specifications are the "factors" rather than the appealing and curvy surface design.

Given that Samsung has been able to grow make profits faster than revenue and sales, it seems evident that more investment in hardware features will help it see improvements in its phone business from next year, according to analysts.

Based on that perspective, the overall surface design for the S7 will be similar to S6 or Note 5 phablet, though it will be much more powerful, speedier and brighter thanks to the use of the latest processors, new DRAMs with expanded storage, and OLED displays.

Korea Investment, a local brokerage, claimed that the S7 will be introduced in next year's mobile expo in Barcelona, Spain, as earlier unveilings of the new smartphone will have a negative impact on the sale of Note 5 and S6.

The brokerage also remained negative on whether or not the world's top smartphone manufacturer by shipments will put a dual-camera function on the S7.


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