“Although the details on Samsung Pay usage are constantly being updated, the response we’ve received so far has been beyond our expectations,” said Injong Rhee, executive vice president of Samsung Electronics and global head of Samsung Pay. “We knew Samsung Pay would be a game-changer in the mobile payments industry and now with the user data, we are seeing the greater impact it is having on consumer behavior and on the lifestyle of our customers.”

Samsung Pay in South Korea also introduced several value-added services including:

• Payments that support select integrated circuit (IC) readers;
• Online payments using a Samsung Card (credit and debit); and
• Advanced ATM cash withdrawal transactions using a Woori bank account, with
• Transportation services and loyalty card memberships coming soon.

Samsung Pay is scheduled to launch in the United States on Sept. 28, with plans to bring the service to the U.K., Spain and China soon. Samsung Pay is currently available on the Galaxy S6, S6 edge, S6 edge+ and Note5 devices, and it is the first payment solution that is simple, secure and accepted almost anywhere you can swipe or tap a card. Samsung Pay will also support NFC technology on Samsung Gear S2 in select countries after the device launches.

Samsung Electronics announced that its 2015 SUHD and UHD TVs will be the first on the market capable of supporting the new HDMI 2.0a specification.

Samsung will issue a firmware update that will enable its 2015 SUHD and UHD TVs to display a broader library of High Dynamic Range (HDR) content now from external devices. HDR delivers a much higher level of contrast between light and dark to produce an image that is more realistic and closer to what the content creator imagined. The firmware update is available now at no additional cost to owners of 2015 Samsung SUHD and UHD TV’s.

HDMI 2.0a enables the transmission of HDR metadata from external HDR-compatible sources, such as the Ultra HD Blu-ray players that will soon become available. Combined with Samsung’s Nano-crystal technology and picture quality enhancements, such as Peak Illuminator, this update will further provide owners of SUHD sets with the most lifelike picture quality available today.

“Samsung provides cutting-edge technology that our consumers expect from an industry leader, and our SUHD TV’s are our best ever,” said John Ryu, Vice President of the Visual Display Business at Samsung Electronics. “While our 2015 SUHD and UHD TV lines are already capable of delivering HDR capability from internal sources such as streaming services, this firmware update will enlarge the spectrum of available HDR content for our customers.”

HDMI 2.0a will be supported on all 2015 SUHD and UHD TV models via the firmware update and does not require new HDMI cables.

For more information on Samsung’s SUHD TV lineup or upcoming announcements, visit the official website at www.samsung.com and the blog at global.samsungtomorrow.com.

Samsung Electronics announced the public release of its Tizen Software Development Kit (SDK) for the recently unveiled Samsung Gear S2 wearable device. The SDK is now available for download at Samsung’s Developer websites: http://developer.samsung.com/wearable.

Thanks to the early access program announced back in April, over a thousand applications for the Samsung Gear S2 are expected to be available to users at launch. This is in addition to the five thousand apps already available to Samsung Gear users.

In advance of this launch, a Gear S2 seller site was also opened on August 18th for developers and partners to start registering their Gear S2 applications.

The Samsung Gear S2 SDK offers the following advantages:

• Enhanced Standalone Features: Developers can create enhanced standalone Samsung Gear S2 apps with network, call and location-based APIs with the freedom to connect to 3G networks without a smartphone.
• Web and Native Apps: Developers can also build both Web and Native apps with the new SDK. Tizen Native APIs enable them to build fast, light-weight and beautiful apps with EFL (Enlightenment Foundation Libraries).
• Support for Android: Connect to Android phones*, including but not limited to Samsung models. Wider device coverage will help to reach more users. A list of supported devices can be found here.

The following applications will be ready for the Samsung Gear S2:

• Keep up-to-date with the news: Switch between your favorite sports teams by turning the interactive bezel or flicking the screen to get upcoming, live and final game updates on the ESPN app for the Gear S2 or get immediate access to scores with the ESPN Watch Face app. Read the latest news from 10 different sections, stories, push alerts and photos with CNN’s app for the Gear S2. Stay on top of your regional market indexes and see the day gain of the companies at-a glance with the Bloomberg Business Watch Face app, and Bloomberg Business Gear S2 app for more market indexes and details and the latest business news. Select the Twitter Trends Watch Face on your Gear S2 to see top local trends.

• Stay ahead while on-the-go: Request an Uber driver and get picked up in minutes without having to take out your mobile phone. Search, call and get directions to nearby restaurants, shops and services – all from your wrist with the Yelp for Gear app. Access your most relevant, time-sensitive trip information – including real-time flight alerts – at a quick glance of your Gear S2 with the TripCase

• Easy access to your mobile utilities: The convenience of having your Gear S2 smartwatch means you no longer have to fumble with metal keys, with Yale Digital Keys for your Yale Real Living Lock, you can easily access your home or share keys with friends or family members. Control your smart locks powered by Unikey with touch-to-open simplicity – now you can lock and unlock your home, business or hotel door through the convenience of your Gear S2 smartwatch.

• Stay in touch more easily than ever: Access at-a-glance message alerts through Voxer’s messaging app. It is the easiest way to communicate – like a walkie talkie on your wrist.

• Convenient access to shopping and e-commerce: The Gear S2 gives you instant access to the best features for everyday shopping. With FidMe, all of your loyalty cards, coupons and in-store notifications get sent straight to your smartwatch. Discover and browse more great nearby deals from local businesses with Groupon’s Gear S2 app. In addition, through the payment bar code system of Alipay, users can conveniently and promptly complete transactions and enjoy services at various offline supermarkets and restaurants, without having the need to carry any cellphone or cash.

• Track your fitness: The Nike+ Running app for the Gear S2 allows runners to track their distance, pace and time and view their in-run metrics with a simple glance. Individuals with Bluetooth-enabled headphones also have the ability to play music directly from the smartwatch.

For more information about Samsung Gear S2, please visit http://www.samsungmobilepress.com/.

* Compatible with smartphones running Android 4.4 or above and 1.5GB RAM above.

** The services listed above may not be available in all regions and features may vary by region, and service provider may change the name and/or value of its application at any time. Restrictions may also apply.

Samsung Electronics announced three additions to its Wireless Audio 360 speaker range – the R5, R3 and R1 models which will be displayed at IFA 2015. The omni-directional speakers feature a new built-in tap-and-swipe user interface and an improved Multiroom app for customers’ smartphones, tablets and smartwatches.

The R5, R3 and R1 models follow the widely praised R7 and R6 speakers in Samsung’s Wireless Audio 360 line-up, and offer the same high-quality, balanced sound, and premium table-top design that enables them to fit seamlessly into any home.

“With these additional models we are bringing a new kind of high quality sound to the market, with design that is simple, yet premium, and offers a more intuitive user interface,” said Jurack Chae, Senior Vice President of the Visual Display Business at Samsung Electronics. “The R5, R3 and R1 will help cement Samsung’s position as a world leader in home audio.”

Sound that fills the room

Both consumers and media throughout the world praised the R7 and R6 models, emphasizing how crisp and clear the sound is, and how the detailed mid-range can fill any room, thanks to the proprietary ring-radiator technology that is also featured in the R5, R3 and R1 models.

A more intuitive interface

The R5, R3 and R1 models also exclusively feature new physical control options for a hassle-free and intuitive user experience. Consumers can now change the volume, play, pause, or select a different music source all with a gentle touch, tap or swipe on top of the speaker.

Sound that follows you seamlessly

The R5, R3 and R1 models connect with the updated Multiroom App for Android and iOS smartphones and tablets, making it possible to seamlessly share music across Wi-Fi connected devices throughout the home. The app also allows users to easily find and select music, and create playlists all from a single screen.

Samsung’s updated Multiroom app also now works with the Samsung Gear S and will be operated with Samsung’s upcoming smartwatch thanks to a simple user interface that does not depend on a smartphone to operate.

Smartwatch functionality includes immediate control of music playback and volume control, as well as playlist and queue searching. Users can also view the “now playing” screen and access a list of available speakers, all with a simple swipe of their smartwatch.

High resolution streaming on all devices with Qobuz

Samsung has partnered with Qobuz, an online, high-fidelity music service, to make its high resolution streaming services available on Samsung’s audio devices. This gives users access to their favorite audio content at the quality the artists intended. The partnership further demonstrates Samsung’s commitment to giving consumers everywhere, the best possible listening experience.

The new models will be available in the U.S. and European markets in the last quarter of 2015, with prices ranging from US $199 to US $399. More news on regional availability will be announced during the coming months.

Samsung Electronics announced a new suite of slim and sophisticated USB Flash Drives (UFD) available in three ergonomic form factors, each equipped with robust Samsung NAND flash technology.

The introduction of this product line now provides customers with a more complete menu of branded memory products available from Samsung that currently include, a full line of SD and microSD memory cards, internal SSDs and portable SSD products. All of the USB 3.0 drives are also compatible with USB 2.0 and come in metal-based design equipped with Samsung’s robust NAND flash and equipped with Samsung’s 5-proof technologies and a 5 year warranty commencing on the date of purchase.

“Launching the premium UFDs will provide a full lineup of external storage products that can be used with confidence for all our global customers.” said, Un-Soo Kim, Senior Vice President of Branded Product Marketing, Memory Business at Samsung Electronics. “Our customers now have a quality, one-stop-shop for all their memory needs.”

Samsung USB 3.0 flash drives come in three different form factors – Bar type as well as FIT and DUO types. The bar type offers a modern classy look with a light champagne colored, high-quality metal casing for added durability, and a streamlined spherical end for ergonomic experiences, which allow users to easily insert and extract the drive from devices and can double as a subtle key ring to help prevent loss. Measuring 40mm long and weighing under 9 grams, the drive is specifically designed for use in PC devices and is available in three capacities, 16GB, 32GB and 64GB. The drive offers sequential read speed of up to 130MB/s, allowing users to download a 2.4GB full HD video or approximately 40 hours of mp3 music from the UFD to their device in less than 20seconds.

The Samsung USB 3.0 flash drive FIT is the most compact of Samsung’s new UFD lineups. It is designed for use in ultra-slim notebooks or in automobiles equipped with USB ports for data or music storage. The drive allows great portability and maintains streamlined edges of devices while providing an easy grip for removal. The FIT drive is less than 20mm long and weighs just over 2.0 grams and also offers sequential read speed of up to 130MB/s in both 32GB and 64GB capacities.

The Samsung USB 3.0 flash drive DUO is specifically designed for smartphone, tablet and PC users on the go who require added flexibility of an all-in-one solution for standard and micro USB ports. The DUO comes with a convenient attached cap that protects the micro USB. The drive provides sequential read speed of up to 130 MB/s and is compatible with Android devices with a micro USB 2.0 interface. The DUO drive is available in 32GB and 64GB capacities and is less than 37mm long and weighs less than 6 grams.

The Samsung 5-Proof technology guarantees each drive to withstand up to 72 hours in seawater and survive operating temperatures from -0°C to 60°C (32°F to 140°F). Data stored on the drives will not be affected by standard airport X-ray machines or extreme levels of shock up to 1,500g (gravitational force), and can resist up to 15,000 gauss magnetic force, which is the equivalent of a high-field MRI scanner.

A total of seven drives in different form factors and capacities will be available globally, including in Korea, the United States, China, Europe and other regions, further strengthening its presence in the global memory market. The drives will be also available in 128GB capacity in each form factor later this year.

Samsung Electronics, unveiled that Samsung Pay, a secure and easy-to-use mobile payment service that can be used to make purchases nearly everywhere cards are accepted, will launch in Korea on August 20 and in the U.S. on September 28. Samsung plans to roll out the service in the U.K., Spain and China, as well.

Speaking at a Samsung event in New York where it unveiled its newest flagship devices – the Galaxy S6 edge+ and Galaxy Note5, JK Shin, CEO and Head of IT & Mobile Communications Division at Samsung Electronics said, “With the launches of these exciting new smartphones, we will open a new era of mobile payment. This is Samsung’s brave step forward to enhance our mobile experience. It is easy, safe, and most importantly, available virtually anywhere you can swipe a card, in most cases without new costs for merchants, from day one.”

Samsung Pay will be preloaded on select Galaxy S6 edge+ and Galaxy Note5 devices and a free software upgrade will be rolled out beginning mid-August, to enable Samsung Pay on Galaxy S6 and S6 edge devices in the U.S. and Korea. Select U.S. users of Galaxy S6, S6 edge, S6 edge+ and Note5 will be able to participate in a beta trial from August 25 ahead of the September 28 launch.

• SIMPLE: To make a payment on Samsung Pay, users can simply swipe up, scan their fingerprint and pay.
• SAFE: Samsung Pay uses tokenization, Samsung KNOX, and fingerprint authentication to provide secure payments and reduce the security risks inherent to plastic cards.
• VIRTUALLY ANYWHERE: With Magnetic Secure Transmission (MST) and Near Field Communication (NFC) technologies, Samsung Pay works with most existing point-of-sale (POS) terminals. That means it’s the only mobile payment service that works virtually anywhere you can swipe your credit card or debit card.

“The future of mobile payments has arrived,” said InJong Rhee, EVP of Samsung Electronics, Global Head of Samsung Pay. “We are partnering with card networks, issuers and acquirers, and Samsung Pay will also be the first to support contactless payment for store-branded credit cards. The list of partners will only grow.”

Extensive Partnership Ecosystem

Samsung Pay continues to strategically expand its partnership ecosystem to provide greater flexibility, access, and choice for customers. Samsung anticipates working with payment networks such as, American Express, Discover, MasterCard and Visa, major banks including Bank of America, Chase, U.S. Bank and key financial partners including First Data, Synchrony Financial and TSYS to extend Samsung Pay to the U.S. Samsung anticipates working with all major Korean card companies including Samsung Card, Shinhan Card, KB Kookmin Card, Hyundai Card, Lotte Card, NH Nonghyup Card, BC Card, Hana Card, Woori Card and Citi Card.

“We leverage our unique technology and capabilities to provide our customers with seamless, differentiated experiences, giving them more flexibility and choice for how to pay,” said Tony Prentice, vice president of mobile payments at American Express. “As part of that strategy, we are excited to work with Samsung to offer Card Members a new, innovative way to pay in-store with an American Express Card on their Samsung devices.”

“Emerging technologies are impacting the way our nearly 18 million active mobile customers pay for everyday items, and we’re focused on delivering new solutions to help simplify their financial lives,” said Michelle Moore, head of digital banking at Bank of America. “Samsung Pay is a great example of this commitment, allowing customers to do more with their mobile devices and manage their finances when, where and how they want.”

“Samsung Pay will give our customers another convenient way to pay with their Chase cards,” said Gavin Michael, head of Digital for Chase.

“Discover’s focus on simplicity and versatility aligns with Samsung Pay’s innovative use of technology,” said Diane Offereins, Discover’s president of payment services. “Offering this new payment service continues to enhance the convenience and mobile experience we’re providing to our customers.”

“First Data is proud to collaborate with Samsung on the launch of Samsung Pay and we look forward to working together to bring a powerful solution to the marketplace,” said Barry McCarthy, Executive Vice President, Network and Security Solutions, First Data. “We have a history of driving innovation in payment technology through close collaboration with all parts of the payments ecosystem. Our work with Samsung, as well as our other partners in mobile payments, enables more powerful connections between merchants, issuers and consumers.”

“As consumers increasingly rely on their mobile devices in their everyday lives, MasterCard is pleased to partner with Samsung to bring Samsung Pay to our cardholders around the world. Using advanced tokenization technology from the MasterCard Digital Enablement Service, we’re delivering a digital payment experience that is both simple and secure, and includes all the benefits and guarantees of a MasterCard transaction,” said Cheryl Guerin, Group Executive, MasterCard.

Margaret Keane, president and CEO of Synchrony Financial (NYSE: SYF), the largest provider of private label credit cards in the U.S.[1], noted, “This is great news for our customers who will enjoy the benefits our cards offer when they choose to make easy and secure mobile payments with Samsung Pay. It is also important for many of our retail partners who can use their existing point of sale devices to deliver secure mobile payments and a seamless customer experience at more than 300,000 locations.” [1] Based on purchase volume and receivables according to issue number 1,062 of “The Nilson Report,” dated April 2015 (based on 2014 data).

“We expect the adoption of mobile payments to change the payments landscape,” said Gaylon Jowers, Jr., senior executive vice president, TSYS. “We are excited to be on the leading edge in collaboration with industry stalwarts like Samsung through technologies like Samsung Pay.”

“Being one of the first to offer our consumer and business customers Samsung Pay is a great example of our focus on Innovation at U.S. Bank and Elavon,” said Dominic Venturo, chief innovation officer at U.S. Bank. “U.S. Bank customers with qualifying credit or debit cards will be able to pay with their Samsung device using Samsung Pay; and our U.S. Bank and Elavon merchant customers will be able to accept the point of sale transactions right away. This is an important step in the continuous evolution of payments and consistent with providing our customers the ability to do business with us how, when and where they want.”

“Instantly on day one, because of MST technology, Samsung Pay will be accepted almost anywhere consumers can pay today,” said Jim McCarthy, Executive Vice President of Innovation and Strategic Partnerships at Visa. “We see this as a huge step forward for consumer choice and payment security.”

About Samsung Pay.

Samsung Pay is a simple, safe and available virtually anywhere you can swipe your card mobile payment service from Samsung Electronics.  Combining NFC with Samsung’s proprietary MST technologies, Samsung Pay provides consumers a way to pay nearly anywhere you can swipe a card at millions of merchant locations worldwide. Samsung continues to strategically expand its partnership ecosystem for Samsung Pay to provide greater flexibility, access, and choice for customers while enabling an easy and safe payment experience..

Samsung has recently fast tracked security updates to its Galaxy devices with the recent Android Stagefright issues working with the carriers and partners. Acknowledging the importance of time sensitivity in addressing major vulnerabilities, the company plans to further develop this process and implement it as a timely security update practice.

“With the recent security issues, we have been rethinking the approach to getting security updates to our devices in a more timely manner. Since software is constantly exploited in new ways, developing a fast response process to deliver security patches to our devices is critical to keep them protected. We believe that this new process will vastly improve the security of our devices and will aim to provide the best mobile experience possible for our users.” said Dong Jin Koh, Executive Vice President and Head of Mobile Research and Development Office, IT & Mobile Communications at Samsung Electronics.

Samsung is currently in conversation with carriers around the world to implement the new approach. In collaboration with carriers and partners, more details about the specific models and timelines will be released soon.

Samsung Electronics Announces Second Quarter Results

Registers net profit of KRW 5.75 trillion on sales of KRW 48.54 trillion
2Q consolidated operating profit reaches KRW 6.9 trillion

Samsung Electronics  announced financial results for the second quarter ended June 30, 2015. Samsung’s revenue for the quarter was KRW 48.54 trillion, a three percent increase quarter-on-quarter (QOQ), while the operating profit for the quarter was KRW 6.9 trillion, an increase of KRW 900 billion QOQ. In the company’s earnings guidance disclosed on July 7, 2015, Samsung estimated second quarter consolidated revenues would reach approximately KRW 48 trillion with consolidated operating profit of approximately KRW 6.9 trillion.

The overall QOQ improvement in earnings was largely due to strong sales in the Semiconductor Business, led by memory products and mobile application processors, as well as the Consumer Electronics (CE) Division which benefited from the launch of new TV models. Despite the launch of Galaxy S6, improvement to earnings was quite marginal due to low smartphone shipments and an increase in marketing expenses for new product launches.

While 2H 2015 is expected to present mounting challenges, the company will try to improve earnings, as strong seasonality should drive growth in TV sales, while the 14-nanometer foundry business should also see sales growth. Meanwhile, despite risks posed by potential supply increase of LCD panels and premium DRAM products, the Memory Business and the Display Panel segment are expected to register solid earnings. While the IT & Mobile Communications (IM) Division is expected to face a difficult business environment, the sales momentum for high-end products will be maintained by adjusting the price of the Galaxy S6 and S6 edge and introducing new premium smartphone models. New middle- and low-end models will also be introduced, and the IM Division will continue to work on improving efficiency of expenditures.

Capital expenditure (CAPEX) for 2Q 2015 totaled KRW 5.9 trillion, including KRW 3.2 trillion for the Semiconductor Business and KRW 1.1 trillion for the Display Panel segment. Total CAPEX for 1H 2015 was KRW 13.2 trillion, which is approximately a 30 percent year-on-year (YOY) increase. A further increase in CAPEX for 2H 2015 remains under review, and CAPEX will be focused on securing platforms for future growth, such as V-NAND technology, and improving the manufacturing efficiency of display panels.

Semiconductor Sees Solid Growth

The Device Solutions (DS) Division posted KRW 17.87 trillion in consolidated revenue and KRW 3.87 trillion in operating profit for the quarter.

Despite low seasonality for the Memory Business, earnings remained steady due to an increase in high value-added products for mobile devices and servers, as well as an increase in the average density. Meanwhile, S.LSI revenue increased QOQ, due to increased sales of smartphone components driven by 14-nanometer mobile AP and steady demand for high-end LSI products, such as high-pixel CMOS Image Sensors and DDI for flexible display.

In 2H 2015, overall demand in the memory market is expected to be driven by broader SSD adoption for servers and PCs, as well as the launch of new smartphone models with higher memory density for enhanced specifications. The company will continue to secure profitability by accelerating 20-nanometer DRAM migration, expanding V-NAND supply and continuing 10-nanometer class NAND migration. Meanwhile, the System LSI Business’ revenue is expected to improve compared with 1H 2015, driven by an increase in 14-nanometer foundry revenue, the launch of new CMOS sensors and further entry into the Chinese mobile market. The System LSI Business will look to diversify its customer base and products to solidify its foundation for future growth.

Innovation to Drive Future Growth of Display Panel Segment

The Display Panel segment posted KRW 6.62 trillion in consolidated revenue and KRW 540 billion in operating profit for the quarter.

Although profitability of LCD panels improved due to increased sales of premium TV panels, such as those for UHD TVs, overall earnings for OLED panels decreased QOQ due to weak seasonality and increased expenditures from ramping up its new flexible display product line.

In 2H 2015, LCD market growth for UHD TV panels is expected to continue; however, risk factors exist including overall over-supply and decrease in demand from TV set makers. The company will look to achieve stable growth in OLED panels by reinforcing product line-ups for the middle- to low-end market, expanding customer base and addressing the demand for new high-end mobile devices. In particular, the Display Panel segment will reinforce the company’s leadership in the flexible display market. In the future, the company will develop new products, such as transparent and mirror displays, to secure new mid- to long-term growth engines. Despite downside risk in LCD panels during the third quarter, the Display Panel segment will strive to maintain profitability levels at par with the previous quarter by improving OLED panel sales.

New Mobile Devices to Improve Revenue

The IM Division posted KRW 26.06 trillion in consolidated revenue and KRW 2.76 trillion in operating profit for the quarter.

Overall revenue improved slightly QOQ for the Mobile Business, due to increased shipments of the Galaxy S6 and Galaxy S6 edge, despite a drop in overall smartphone shipments caused by declining shipments of older middle- to low-end models. Although revenue increased, profits increased marginally QOQ, due to supply difficulties from higher than expected market demand for the Galaxy S6 edge, as well as increased marketing expenditures that typically accompany flagship product launches.

Meanwhile, second quarter tablet shipments slightly decreased due to extended off-season in the market. The tablet market in 2H 2015 is expected to report negative growth YOY; however, the Mobile Business intends to actively respond to market demands with the Galaxy Tab A series and a new product scheduled for later this year.

In 2H 2015, the smartphone market is expected to grow YOY; however, the growth rate is expected to slow down. The Mobile Business plans to firmly maintain its sale of premium smartphones by flexibly adjusting the price of the Galaxy S6 and S6 edge, and launching a new model with a larger screen. Supply issues concerning the Galaxy S6 edge have been addressed. Moreover, the IM Division plans to enhance efficiency across the board, including product line-ups, marketing and R&D.

Premium Products Add to CE Division’s Growth

The CE Division, encompassing the Visual Display (VD), Digital Appliances (DA), Printing Solutions and Health and Medical Equipment (HME) Businesses, posted KRW 11.20 trillion in consolidated revenue and KRW 210 billion in operating profit for the quarter.

Despite a stagnant TV market, the VD Business saw improved performance QOQ due to the release of new models, such as the SUHD TV, as well as an expansion of premium products. Meanwhile, the DA Business saw improved performance compared to the previous quarter, thanks to sales of premium and innovative products, such as the Chef Collection refrigerators and Active Wash washing machines.

In 2H 2015, although market demand for TVs is expected to remain at the same level YOY, demand for UHD and large-screen TVs is expected to increase. As a result, the VD Business will expand premium model line-ups including SUHD and Curved TV to mass market products in order to improve profitability. The DA Business plans to increase sale of premium products and actively improve revenue in developed markets, such as North America.

※ Consolidated Sales and Operating Profit by Segment based on K-IFRS (2013~2015.2Q)

Note 1: Sales for each business include intersegment sales

Note 2: CE (Consumer Electronics), IM (IT & Mobile Communications), DS (Device Solutions), DP (Display Panel)

Note 3: Information on annual earnings is stated according to the business divisions as of 2015.

Samsung Electronics, a world leader in advanced semiconductor technology, announced the industry’s first 1.0μm-pixel-based 16 megapixel (Mp) CMOS image sensor for use in advanced mobile devices.

Samsung’s new image sensor, the S5K3P3, leverages the company’s proprietary ISOCELL technology to enable the high performance 1.0μm pixels. This market-leading small pixel minimizes the overall size and height of an image sensor module, making it an ideal solution for today’s increasingly thinner mobile devices.

“As a trendsetter in the mobile image sensor business, we are pleased to be the first to deliver the most advanced 1.0μm-pixel imager, which meets both high-resolution and slim design requirements for smartphone cameras,” said Kyushik Hong, Vice President and Head of S.LSI Marketing at Samsung Electronics. “Starting with 16Mp sensor, Samsung plans to further expand 1 .0μm-pixel product category and lead the image sensor market for high performing slim mobile devices.”

Built with 1.0μm pixels, Samsung’s new 16Mp image sensor reduces the module’s overall height by 20 percent, compared to current 1.12μm-pixel based 16Mp sensor modules. Enabling a module z-height that is less than 5mm, the S5K3P3 offers designers the ability to develop a mobile device with minimal camera protrusion without compromising on resolution.

In addition, the S5K3P3 takes advantage of Samsung’s ISOCELL technology to deliver image quality that is on par with 1.12μm-pixel based image sensors. Using ISOCELL technology dramatically reduces color crosstalk of neighboring pixels by adding physical barriers between each pixel. This substantially increases light sensitivity and effectively controls the collection of photons, resulting in higher color fidelity even in poor lighting conditions.

Combining ISOCELL technology with the industry’s smallest 1.0μm pixels, the new S5K3P3 image sensor will provide manufacturers with a differentiated design option.

Samsung’s new S5K3P3 image sensor is available today for mobile device manufacturers to design into their next-generation products.

Samsung Electronics announced that it will hold a new free webinar for developers of printing apps, giving them a head start when working with the latest Software Development Kit (SDK) for Samsung’s Smart UX Center. The webinar will take place at 3:30pm GMT on Wednesday, July 15, 2015, on the Samsung WebEx portal website. The Smart UX Center is an Android-based printing user interface that allows users to customize document management and output functions according to their specific needs. The Smart UX Center can be used in the Smart MultiXpress series, Samsung’s flagship multifunction printer range.

“Samsung understands that we cannot build a rich printing solutions ecosystem with innovative content and services on our own; we need the support and expertise of our customers, partners and the developer community. This new webinar will share the latest insights and help us to work together, so that we all can make printing simple and easy, and drive productivity for business,” said David SW Song, Senior Vice President of Strategy Marketing and Sales, Printing Solutions, Samsung Electronics. “This webinar will build on our first Smart UX Center SDK webinar in June this year, which received extremely positive feedback from printing app developers and other attendees. In fact, as a result SDK downloads increased by 20%.”

From download to verification: A step-by-step guide for developers, resellers and dealers

The webinar will provide a detailed, step-by-step guide to developing printing apps, covering everything from downloading the SDK itself, to app testing and registration.

Participating developers will benefit from an enhanced technical understanding, and a clearer view of how they can generate revenue from creating and managing printing apps for Android and Samsung platforms. Dealers and resellers will also benefit from a clearer understanding of how they can better serve current and prospective customers, and grow their business by creating more customized solutions and apps.

As well as introducing the SDK to developers, dealers and resellers, the webinar will also explain Samsung’s vision for the printing solutions ecosystem and show how the included API keys can be used to create printing apps capable of upgrading user interfaces or customizing document management functionality.

Logistics and further information

The webinar will be in English, and anyone who would like to join can do so for free by registering here. Joining instructions will be provided within 12 hours once access has been approved – all attendees are required to register at least 12 hours in advance.

Anyone who would like to download the SDK can visit : http://developer.samsung.com/smart-printing

Further information and additional printing apps developed with the SDK can be downloaded here: https://printingapps.samsung.com/apps.

Samsung Electronics announced its second year partnership with International Talent Support (ITS), a global platform and competition for young emerging creative talent, as well as this year’s Samsung Galaxy Award featuring the Galaxy S6 and S6 edge. Samsung and ITS are recognizing young talent and forces of fashion with creative vision, encouraging them to explore their creative ideas, and ultimately create a product or art piece that unites technology and fashion for a chance to receive the Samsung Galaxy Award. As a global innovator in mobile technology, Samsung is devoted to uniting the worlds of fashion and technology by leading the way in the development of tech products and user-experiences that seamlessly combine style with substance.

The Samsung Galaxy Award at the 2015 ITS competition will give young designers an opportunity to showcase their creative approach and design vision. Ten finalists will be selected from ITS FASHION, ITS ACCESSORIES, ITS JEWELRY, and ITS ARTWORK, and will be asked to develop proposals for two assignments: produce a new type of smartphone case for the Galaxy S6 or S6 edge with or without Swarovski crystals, and create a fashion item or art piece based on their design expertise, inspired by Galaxy S6 or S6 edge design or features. Ten prototypes will be chosen to be exhibited during the final round on July 10th and 11th. The best prototype will receive the Samsung Galaxy Award and a cash prize of €10,000.

“Samsung recognizes young designers and talent as critical forces of fashion that have the potential to create the next big thing in fashion-forward tech devices and accessories,” says Younghee Lee, Executive Vice President of Samsung Electronics Mobile Communication Division. “We are proud to support this innovative group and look forward to seeing the many ways that fashion and technology can unite to better improve our lives.”

The winner will be decided collectively by juries, including Younghee Lee, Executive Vice President of Samsung Electronics Mobile Communication Division along with some of the most influential Italian fashion journalists.

About International Talent Support
For fourteen years the mission of ITS has been that of giving space, visibility and support to young talents from all over the world and to provide them the opportunity of showcasing their creativity to the contest’s prestigious international judging panels composed of leading professionals in fashion, accessories, art and jewelry. ITS provides real support offering a selection of concrete awards and a vast array of job opportunities. ITS is a project conceived and developed by da EVE, presented by OTB, in collaboration with main partners YKK, SWATCH, SWAROVSKI.

TDS 2015 Bengaluru keynote speeches will be made by Aloknath De, CTO & VP, Samsung R&D Institute India – Bangalore, who will speak about the Tizen platform upgrade features and current Tizen devices with new opportunities in the internet of Things(IoT) space and the need for open platforms. Ram Sewak Sharma, Secretary, Department of Electronics and Information Technology, Ministry of Communications & IT, Government of India, will also give a keynote speech about the ‘Digital India’ initiative and how open source is playing a crucial role in e-governance, entrepreneurship and transforming India into a knowledge economy.

Other keynote speakers include Naveen Tewari, the founder of InMobi, will discuss how mobile monetization has evolved from banners to native advertising to more advanced feature advertising, and how it will impact Tizen developers going forward. Sanjeev Kashyap, CTO and Head of Satellite Network Group at Bharti Telemedia, will address the growth and change in Indian DTV viewership patterns, the unique application demands of the Samsung Smart TV and plans for upcoming applications on the Tizen platform.

In addition to the keynote speeches, tech sessions are divided into four tracks: “Mobile & Platform”, “TV, IoT, Wearable”, “Biz & Panel” and “Workshop.”

Trailblazing with Tizen: An Overview & Roadmap

In this session, we will share our vision and goals for Tizen. We will discuss advantages, versatility and the technical architecture of Tizen. In addition, we will also introduce Tizen features and concepts of device profiles including smartphones, smart TVs, wearables, in-vehicle infotainment (IVI), and IoT in the near future.

A Tizen Wearable Overview

Tizen has proven to be a solid platform for development on the wearable platform – the Samsung Gear devices are a testament to this. In this session, we will provide an overview on  the major features and capabilities that are available on Tizen devices. We will go over how you can easily develop on a Gear App with a basic background in web technology.. API and Web UI Framework “TAU(Tizen Advanced UI) ” code samples will be included.

“IoTivity” – Connecting  Things in IoT

In this session, we will go over the APIs introduced by IoTivity’s base framework and the common services for group management of things & soft sensor management. Developers will learn how to write plugins to connect devices built on OIC(Open Interconnect Consortium) standards to communicate with legacy devices using Protocol Manager Service.

For further details about the Tizen Developer Summit (TDS) 2015 Bengaluru, please click here.

Read more: Invitation to Developers: Tizen Developer Summit 2015 Bengaluru

Samsung Electronics announced its earnings guidance for the second quarter of 2015.

• Consolidated Sales: Approximately 48.0 trillion Korean won
• Consolidated Operating Profit: Approximately 6.9 trillion Korean won

The above figures are consolidated earnings estimates based on K-IFRS. Korean disclosure regulations do not allow earnings estimates to be provided as a range. Therefore, the above figures are based on the median of the earnings estimate range, as given below.

• Sales: 47.0 ~ 49.0 trillion Korean won
• Operating Profit: 6.7~ 7.1 trillion Korean won

Samsung Electronics announced the new LEVEL U Bluetooth headset. The latest addition to the LEVEL headset line-up incorporates the latest Samsung technology, delivers best-in-class sound with crystal-clear call quality and features a stylish, ergonomic design for a comfortable fit. The LEVEL U has a long battery life and is also great for Text-to-Speech (TTS) applications. It will be available from July 1st, 2015.

“The Level U Bluetooth headset is quite unusual, and that’s because we at Samsung have identified a truly new way of improving the mobile experience of our customers; we looked at what people really need and developed the new LEVEL U,” said Younghee Lee, Executive Vice President of Global Marketing, IT & Mobile Division at Samsung Electronics. “The LEVEL U combines fashion, comfort, and performance with cutting-edge wireless Bluetooth capabilities; this is a really easy-to-use headset, and our customers will enjoy it.”

Sophisticated, Ergonomic Design

Available in range of striking colors, including blue black, white, gold and blue, the Level U can fit any style. Weighing just 33g, with soft, flexible urethane joints and an ergonomic, adjustable neck-band design, the headset offers a secure and comfortable fit. The LEVEL U also features a range of built-in, slightly raised control buttons that make it easy for users to adjust the volume, pause, play or skip a track, even when they are on the move. The ergonomically designed hybrid-style eartips combine the noise-cancelling properties of earbuds with the comfort of headphones, even when listening for long periods. The LEVEL U’s magnetic eartips also fasten together, making the headset neater and more wearable when not in use.

Best-In-Class Performance

Using Samsung’s latest mobile and audio technology, the LEVEL U features two microphones. One collects noise from your surroundings, the other captures your voice, the headset then filters out the external noise to deliver crystal-clear audio to whoever you are speaking with. The LEVEL U also provides an optimum listening experience, thanks to noise and echo reducing technology and 12mm dynamic drivers that deliver richer bass and more balanced sound. Thanks to Bluetooth 4.1 and the apt-X Codec, users can enjoy high-quality, CD quality audio sound without the fuss of wires.

Multi-Purpose Usage

The Level U is far more than just a premium mobile listening and audio device. Through the downloadable Samsung LEVEL app, the headset can notify users about a range of essential information, including missed calls, alarms, scheduled events and the remaining battery level thanks to Text-to-Speech (TTS) functionality, vibration alerts and an interactive onscreen icon. Lastly, with a universal 5 pin charging port, and up to 10 hours battery life for playing audio, 11 hours talk time and 500 hours standby time, the LEVEL U fits into people’s lifestyles. It’s a headset for a truly connected living and greater freedom for everyone, everywhere.

Full details and product images are available at www.samsungmobilepress.com.

* Samsung Level app compatibility:
1) The (downloadable) Samsung Level app is compatible with Samsung mobile devices running the Android operating system 4.2.2 or later. Depending on a device’s specifications, certain features may not be visible for some users and some functions may not be available.
2) In order to use the application, users should ensure their devices are paired using Bluetooth.

** Battery life may vary depending on individual usage patterns.

Samsung announces its global marketing partnership with Jurassic World, the long-awaited next installment of Steve Spielberg’s groundbreaking Jurassic Park series.  Samsung will present exclusive content from the upcoming epic action-adventure on its revolutionary SUHD TVs at retail stores in U.S until the movie releases on June 12. As part of the cross-platform partnership, Samsung also had a presence at the Jurassic World premiere and post-party.

“Partnering with Universal Pictures provides us with a unique opportunity to show our innovative technology and create an integrated marketing campaign tied to one of the biggest movies of the year,” said Won Pyo Hong, President and Chief Marketing Officer, Samsung Electronics. “The exclusive Jurassic World clip on Samsung’s SUHD TVs will show unmatched, lifelike picture quality with breathtaking color and detail, drawing viewers in so that they feel like a part of the action.”

Samsung also celebrated the premiere of Jurassic World by creating a video wall featuring content from the film on their new SUHD TVs, which immersed guests in JURASSIC WORLD through spectacular color and detail on the red carpet.

“Samsung is a part of our story,” said Jurassic World producer Frank Marshall. “Our vision for the movie was that the theme park was very real, so we went to great lengths to make audiences feel like they were part of the experience — that really adds to the storytelling.”

The Samsung Innovation Center, the Visitors’ Center in JURASSIC WORLD, showcases high-tech interactive exhibits that provide immersive experiences for parkgoers. The center is filled with Samsung’s innovative displays, including the UHD TVs, where parkgoers can experience virtual dinosaurs and learn more about the park.

Samsung SUHD TVs are taking picture quality to an entirely new level, thanks to a new display technology powered by energy-efficient nano-crystal semiconductors that provide unrivalled color purity and contrast, and are two and a half times brighter than conventional TVs.

Actor Peter Fonda (L) and Paleontologist consultant Jack Horner poses in front of Samsung’s SUHD TVs at the premiere of Jurassic World at Dolby Theatre on June 9, 2015 in Hollywood, California.

Actors B. D. Wong (L) and Bryce Dallas Howard pose in front of Samsung’s SUHD TVs at the premiere of Jurassic World at Dolby Theatre on June 9, 2015 in Hollywood, California.

Actors Vincent D’Onofrio, Bryce Dallas Howard and Writer Director Colin Trevorrow pose in front of Samsung’s SUHD TVs at the premiere of Jurassic World at Dolby Theatre on June 9, 2015 in Hollywood, California

About Jurassic World

The story of Steven Spielberg’s original comes full circle as the park that was only a promise comes to life.  Welcome to Jurassic World, a fully operational luxury resort off the coast of Costa Rica where 20,000 guests explore the wonder of Earth’s most magnificent living prehistoric marvels—of every shape and size—and interact up close with them every day.

When the massive and mysterious Indominus rex stages an escape and disappears into the jungle, order turns to mayhem and guests turn into prey. Dinosaurs escape into the open, skies and water to engage in an all-out war for survival, and no corner within the world’s greatest theme park is safe anymore.

Chris Pratt, Bryce Dallas Howard, Vincent D’Onofrio, Ty Simpkins, Nick Robinson, Omar Sy, BD Wong and Irrfan Khan star in the 3D epic action-adventure that is directed by Colin Trevorrow and based on characters created by Michael Crichton. The screenplay is by Rick Jaffa & Amanda Silver and Derek Connolly & Trevorrow, and the story is by Rick Jaffa & Amanda Silver.  Frank Marshall and Patrick Crowley join the team as producers. www.jurassicworld.com

Samsung Electronics announced the Samsung ARTIK platform to allow faster, simpler development of new enterprise, industrial and consumer applications for the Internet of Things (IoT). ARTIK is an open platform that includes a best-in-class family of integrated production-ready modules, advanced software, development boards, drivers, tools, security features and cloud connectivity designed to help accelerate development of a new generation of better, smarter IoT devices, solutions and services.

“We are providing the industry’s most advanced, open and secure platform for developing IoT products”, said Young Sohn, president and chief strategy officer, Samsung Electronics. “By leveraging Samsung’s high-volume manufacturing, advanced silicon process and packaging technologies, and extensive ecosystem, ARTIK allows developers to rapidly turn great ideas into market leading IoT products and applications.”

The ARTIK Family

All members of the Samsung ARTIK family incorporate unique embedded hardware security technology, on-board memory and advanced processing power in an open platform. Security is also a key element of the advanced software integrated into the module along with the ability to connect to the Internet for cloud-based data analytics and enhanced services. As an open platform, Samsung ARTIK can be easily customized for more rapid deployment of IoT devices and the services that can be delivered using them.

Samsung ARTIK platform comes in a variety of configurations to meet the specific requirements of a wide range of devices from wearables and home automation, to smart lighting and industrial applications. Initial members of the ARTIK family include:

• ARTIK 1, the smallest IoT module currently available in the industry at 12mm-by-12mm combines Bluetooth/BLE connectivity and a nine-axis sensor with best-in-class compute capabilities and power consumption. It is specifically designed for low-power, small form-factor IoT applications.
• ARTIK 5 delivers an outstanding balance of size, power and price-performance and is ideal for home hubs, drones and high-end wearables. It incorporates a 1GHz dual-core processor and on-board DRAM and flash memory.
• ARTIK 10 delivers advanced capabilities and high-performance to IoT with an eight-core processor, full 1080p video decoding/encoding, 5.1 audio and 2GB DRAM along with 16GB flash memory. The Samsung ARTIK 10 includes Wi-Fi, Bluetooth/BLE and ZigBee connectivity and is designed for use with home servers, media applications, and in industrial settings.

“Industry requirements for IoT devices vary in terms of battery life, computational horse power and form factor,” said Sohn. “With this family of ARTIK offerings, Samsung is directly addressing the needs of the widest range of customers, uses and applications.”

Additional Technical Highlights of the Samsung ARTIK Family

• Security and Privacy: The ARTIK platform offers a best-in-class, end-to-end security solution. At the hardware level, ARTIK contains am embedded secure element that goes beyond software-based encryption solutions alone. At the application level, ARTIK is equipped with a machine learning based anomaly detection system. This allows the user to identify abnormalities and unusual behavior in order to address possible hacking or intrusion activity.
• IoT Software Stack: Samsung’s ARTIK platform comes with an extensive IoT software stack and tools needed to accelerate product development. Developers can go directly to application framework development, instead of spending time building low-level software libraries.
• Local Storage and Computational Capability: ARTIK supports unique local storage and computational capabilities that in most current IoT environments are generally only addressable by large-scale cloud servers. Depending on user requirements, data can be managed locally or in the cloud in encrypted or unencrypted formats.
• Low-Power Architecture: The ARTIK platform offers best-in-class power consumption to enable longer battery life for battery operated IoT devices like wearables. The platform includes a tiered architecture that allows applications and tasks to run at the right power-optimized performance and memory utilization.
• Small Form Factor: All ARTIK modules offer the smallest form factor in their class. Certain ARTIK modules use Samsung’s next generation ePoP (embedded Package-on-Package) technology. Samsung Electromechanics, a global leader in component manufacturing, played a key role in developing advanced packaging technology for ARTIK.
• Connectivity: Depending on the configuration, the ARTIK family offers all major connectivity protocols including Wi-Fi, Bluetooth (including BLE) and ZigBee.

More information about the ARTIK platform and development tools may be found at www.artik.io.

Samsung Electronics Announces First Quarter Results

Registers net profit of KRW 4.63 trillion on sales of KRW 47.12 trillion
1Q consolidated operating profit reaches KRW 5.98 trillion

Samsung Electronics announced financial results for the first quarter ended March 31, 2015. Samsung’s revenue for the quarter was KRW 47.12 trillion, an 11 percent decrease quarter-on-quarter (QOQ), while the operating profit for the quarter was KRW 5.98 trillion, an increase of KRW 690 billion QOQ. In the company’s earnings guidance disclosed on April 7, 2015, Samsung estimated first quarter consolidated revenues would reach approximately KRW 47.0 trillion with consolidated operating profit of approximately KRW 5.9 trillion.

The first quarter saw growth across the Device Solutions (DS) and IT & Mobile Communications (IM) Divisions. The Memory Business further accelerated its 20-nanometer class migration for DRAM, while DDR4/LPDDR4 sales increased for mobile devices and servers. The Display Panel segment saw profit growth, as OLED panels for smartphones and LCD panels for premium TVs saw increased sales. The Mobile Business also saw profit growth, due to increased sales of new middle- to low-end smartphones, all the while decreasing marketing expenditures.

In the second quarter, the company expects its overall earnings to increase compared to the previous quarter, despite an expected growth in marketing expenditures. With premium smartphone sales entering into full swing, the DS Division is expected to see demand in growth for its semiconductor products. The System LSI Business is expected to improve its overall business performance through increased supply of 14-nanometer application processors. The Display Panel segment expects smartphone and TV sales to boost its earnings from OLED and LCD panel sales. The IM Division earnings are expected to grow, due to increased global sales of the Galaxy S6 and S6 edge. Meanwhile, the Consumer Electronics (CE) Division expects to see improvements, as seasonality should improve air conditioner sales, while the flagship SUHD TV sales are expected to increase.

Looking ahead to the rest of 2015, despite strong seasonality, competition is expected to toughen for the set business and there is also a risk of weaker demand due to the weak Euro and emerging market currencies. For the component business, while we expect stable supply and demand conditions, weak demand for set products and increase in LCD panel supply may negatively affect earnings. While the information technology (IT) industry has typically had a weak 1H and a strong 2H each year, this may be less so for 2015.

Capital expenditure (CAPEX) for 1Q 2015 totaled KRW 7.2 trillion, including KRW 4.4 trillion for the Semiconductor Business and KRW 500 billion for the Display Panel segment. While we expect the total CAPEX to remain at a similar level to that of 2014, there is a strong possibility that it may increase. CAPEX will be adjusted depending on macroeconomic conditions and each business’ market conditions.

Semiconductor Business to Strengthen through Differentiated Products

Semiconductors posted KRW 10.27 trillion in consolidated revenue and KRW 2.93 trillion in operating profit for the quarter.

Although the first quarter is generally a low season for DRAM, demand remained high due to flagship smartphone launches and server demand for data centers. Profitability was secured by accelerating 20-nanometer class migration and sales of differentiated products, led by DDR4/LPDDR4.

Solid demand also continued for NAND products, driven by the increasing density of smartphone storage and launches of SSD-adopted high-end notebook PCs. The company secured cost competitiveness of NAND products and increased sales of solution products, such as SSD and UFS.

While seasonality resulted in decreased revenues for the System LSI Business, profitability improved as production began for 14-nanometer mobile application processors.

Looking ahead, flagship smartphone sales are expected to pick up. Also, as the specification of smartphones in general become increasingly sophisticated, demand for mobile chips are expected to grow. Meanwhile, chip demand for servers is expected to grow as new server platforms expand and enterprise SSD adoption increases. The company will continue to reduce costs by expanding 20-nanometer migration and secure profitability by increasing sales of differentiated products, such as DDR4/LPDDR4. In addition, NAND products are expected to become more competitive, due to 10-nanometer class migration, increased sales of high capacity UFS for mobile devices and an increase in 3D NAND-based SSDs for PCs and servers.

Meanwhile, the System LSI Business is expected to increase supply of 14-nanometer mobile application processors for new flagship smartphones, while responding actively to growing demand for LSI products, including CMOS Image Sensors and DDI. The System LSI Business will attempt a turnaround through stable supply of 14-nanometer products and increased sales of high-value LSI products. At the same time, the System LSI Business will also look to diversify its foundry customers, in order to solidify its foundation for future growth.

Display Panel Segment to Expand Premium Product Lineup

The Display Panel segment posted KRW 6.85 trillion in consolidated revenue and KRW 520 billion in operating profit for the quarter. Despite seasonality concerns and decreased TV panel shipments, the profitability of LCD panels was solid due to increased sales of premium TV panels, such as those for UHD TVs. Earnings improved QOQ for OLED panels, as sales of new high-end smartphone display panels increased.

In the second quarter, earnings for LCD panels are expected to remain solid, due to increased sales of premium products, such as UHD, Curved and 60-plus-inch TV panels. Although there is increased demand for OLED panels stemming from high-end smartphones, earnings associated with OLED panels are expected to see limited improvement due to costs required to start the new A3 production line.

In the 2H 2015, the growth of the UHD market and the trend toward larger displays may present opportunities. However, there are risk factors, such as the effect of exchange rates upon consumer demand for TVs and smartphones and the increasing production capacity across the display panel industry. In response, the Display Panel segment will look to improve profitability by strengthening premium LCD product lineups, including Curved and ultra-large displays, as well as low-end products. Profitability for OLED panels is also expected to improve, as product lineups will accommodate smartphones across the low- and high-end spectrum. Market leadership will be reinforced through the mass production of flexible display panels, which is expected to function as a growth driver for mid- to long-term growth.

Increased Sales, Decreased Expenses Improve Profitability for IM Division

The IM Division posted KRW 25.89 trillion in consolidated revenue and KRW 2.74 trillion in operating profit for the quarter.

Smartphone sales increased QOQ. However, tablet and feature phone sales decreased, along with a decreased ASP, resulting in a slight decrease in revenue. Meanwhile, earnings improved due to more efficient management of marketing expenditures, expanded sales of middle-end smartphones including the Galaxy A Series, and a strengthened premium lineup following the introduction of the Galaxy S6 and S6 edge.

In the second quarter, market demand for smartphones and tablets is expected to remain at a similar level QOQ. Global sales are expected to improve with the global launch of the Galaxy S6 and S6 edge. In particular, the Galaxy S6 and S6 edge have been receiving positive feedback from the market. However, total smartphone shipments are expected to remain at the same level as the previous quarter, due to a possible decrease in sales of middle- to low-end models, while marketing expenses are expected to increase due to the global launch of the Galaxy S6 and S6 edge.

In 2015, continued growth is expected due to the growth of emerging smartphone markets, such as China and India, as well as the global expansion of the LTE business. However, increased competition in the middle- to low-end market and a possible decrease in demand due to the impact of foreign exchange rates in specific regions may present challenges.

The IM Division will drive smartphone sales growth in 2015 by strengthening its leadership in premium smartphones and actively responding to the growing middle- to low-end market with a streamlined lineup. Further, the overall cost efficiency across all business areas, including R&D and marketing, will be increased to improve profitability.

UHD TV Full Lineup to Strengthen Market Leadership

The CE Division, encompassing the Visual Display (VD), Digital Appliances (DA), Printing Solutions and Health and Medical Equipment (HME) Businesses, posted KRW 10.26 trillion in consolidated revenue, registering a loss of KRW 140 billion for the quarter.

Market demand for flat panel TVs decreased due to the first quarter being a traditionally slow season, as well as the falling exchange rates in Europe, Russia and Brazil. An increase in material costs due to the strong US dollar further contributed to the losses. Meanwhile, the DA Business saw improved earnings year-on-year (YoY) due to increased sales of premium products such as the Chef Collection.

In the second quarter, while flat TV demand is expected to remain at the same level as the previous quarter, the growth of the UHD TV market is expected to continue.

Samsung Electronics will increase sales of the top-of-the-line SUHD TV to expand its UHD TV lineup and improve profitability. Additionally, Samsung will continuously expand region-specific models to actively respond to demand in emerging markets. The DA Business will actively prepare for the peak season of air conditioner sales, while releasing innovative new products to improve business performance.

• ŸConsolidated Sales: Approximately 47.0 trillion Korean won
• Consolidated Operating Profit: Approximately 5.9 trillion Korean won

The above figures are consolidated earnings estimates based on K-IFRS. Korean disclosure regulations do not allow earnings estimates to be provided as a range. Therefore, the above figures are based on the median of the earnings estimate range, as given below.

• Sales: 46.0 ~ 48.0 trillion Korean won
• Operating Profit: 5.7~ 6.1 trillion Korean won

※  2014 4Q and 2014 1Q consolidated figures based on K-IFRS are as follows

Registers net profit of KRW 5.35 trillion on sales of KRW 52.73 trillion 4Q consolidated operating profit reaches KRW 5.29 trillion

Samsung Electronics announced financial results for the fourth quarter ended December 31, 2014. Samsung’s revenue for the quarter was KRW 52.73 trillion, an 11 percent increase quarter-on-quarter (QOQ), while the operating profit for the quarter was KRW 5.29 trillion, an increase of KRW 1.23 trillion QOQ. In the company’s earnings guidance disclosed on January 8, 2015, Samsung estimated fourth quarter consolidated revenues would reach approximately KRW 52.0 trillion with consolidated operating profit of approximately KRW 5.2 trillion.

Overall, QOQ growth was led by the Device Solutions (DS) Division whose revenue increase was attributed to solid demand for memory products and an increase in 20-nanometer mobile application processor (AP) supply. The Display Panel segment saw strong sales of LCD products, helped by an increase in the average selling price (ASP) brought about by tight supply and demand conditions throughout the industry. OLED product shipments also increased. Meanwhile, the IT & Mobile Communications (IM) Division saw its earnings recover, due to increased sales of high-end products, such as the Galaxy Note 4, and a more efficient management of marketing expenditures.

Looking ahead to 2015, earnings for components are expected to be static, due to slow seasonality across the IT industry. During this time, Samsung will focus on ramping up the volume of the System LSI Business’ 14-nanometer process, while also focusing on improving the Display Panel segment’s premium product offerings. For the set business, weak seasonality for the Consumer Electronics (CE) Division, including the Visual Display (VD) Business’ TVs, is expected to result in limited earnings growth and decreased marketing expenditures. As for the IM Division, it will focus on the successful implementation of its new product line-up strategy.

For the 2015 fiscal year, Samsung expects to build upon its stable foundation for solid growth over the longer term. For the Memory Business, solid earnings are expected on the back of DRAM products equipped with differentiated technologies, such as the DDR4, while the company will continue on with the 20-nanometer process migration. In order to address the rapidly growing SSD market, the supply of V-NAND products will be increased. As for the System LSI Business, the adoption of the 14-nanometer process is expected to reinforce system-on-chip product competitiveness, while the company continues to expand the foundry customer base to drive stable growth momentum.

The Display Panel segment will focus on the UHD TV market with TV panels that implement the company’s industry-leading technologies, particularly the curved and ultra-large 60-plus-inch panels. The VD Business will look to further cement its market leadership by increasing shipments of new premium products, led by the SUHD TV. The IM Division’s Mobile Business, which had weak earnings in 2014, will focus on recovery by differentiating its mobile devices using new materials and designs, while also more efficiently managing costs through, among others, streamlining product line-ups.

Capital expenditure (CAPEX) for 2014 totaled KRW 23.4 trillion as initially planned, including KRW 14.3 trillion and KRW 4 trillion that were spent on semiconductors and displays, respectively. The 2015 CAPEX plan remains under review, and will be determined based on macroeconomic conditions, as well as the requirements and needs of each business. The total CAPEX for 2015 is expected to increase from 2014.

Components Business to Undergo Further Growth

Semiconductors posted KRW 10.66 trillion in consolidated revenue and KRW 2.7 trillion in operating profit for the quarter.

The Memory Business saw strong demand in the fourth quarter for DRAM products, such as the DDR4, driven by new server platforms and data centers. Stable demand for PCs also contributed. NAND products also enjoyed strong demand in the fourth quarter, mainly due to new smartphone launches. Additionally, the Memory Business was able to ensure profitability by expanding 10-nanometer class migration, and, since the first half of 2014, SSDs have generated over USD 1 billion in revenue each quarter. As for the System LSI Business, overall earnings improved QOQ, driven by 20-nanometer application processors and LSI sales expansion.

In 2015, DRAM growth is expected to continue into the first quarter, led by server DRAM for data centers and mobile DRAM for new smartphones. Cost reductions will continue by expanding 20-nanometer class migration. Leadership in high density and new interface memory market is expected to continue through, among others, DDR4 and LPDDR4 for high-end servers and smartphones. Meanwhile, for NAND products, high density SSDs for PCs and enterprise use are expected to increase, and growth in demand for new high density products is expected, as the new interface of solution products is expanded. The company will also reinforce product competitiveness by expanding V-NAND across all SSD segments, and secure profitability by actively responding to demand for high density mobile storage products.

As for the System LSI Business, it will ramp up the 14-nanometer process. However, demand for existing applications is expected to slow down due to seasonality. The System LSI Business will also focus on recovering growth momentum through the stable production of 14-nanometer products and increased sales of LSI products, including the high resolution ISOCELL CMOS Image Sensor. The System LSI Business will also continue to diversify foundry customer base and strengthen competitiveness of mobile application processors (AP), in order to drive stable, long-term growth.

TVs and Smartphones to Increase Display Panel Demand

The Display Panel segment posted KRW 7.05 trillion in consolidated revenue and KRW 470 billion in operating profit for the quarter.

Earnings improved QOQ for LCD panels, as an ASP increase brought about by strong demand coincided with tight supply and demand conditions. In particular, earnings improved with growing shipment of premium TV products, such as UHD and curved panels, as well as ultra-large 60-plus-inch display panels. Earnings also improved QOQ for OLED panels, due to increased shipment of new high-end smartphone panels, including mass-produced flexible display panels that provided customers with differentiated form factors.

Looking ahead in 2015, while LCD panels are expected to benefit from stable market supply and demand conditions driven by growing demand for larger panels and further growth of the UHD TV market, potential increase in manufacturing capacity could adversely affect the supply and demand conditions. Slowdown in tablet sales and the shrinking PC and monitor markets could result in weak demand for PC panels, and the company will enhance its competitiveness and profitability in this segment by introducing premium products. Under such market conditions, the company will strive to increase sales and improve profitability by expanding mass market line-ups and increasing shipment of premium products.

As for OLED panels, the slowing growth of the smartphone market is expected to intensify competition among panel manufacturers. In turn, the company will focus on increasing sales and improving profitability through cost competitiveness and product enhancements. In order to expand the customer base for OLED panels, product line-ups will also be expanded in the middle and low end segments.

Streamlined Smartphone Portfolio to Drive Mobile Business

The IM Division posted KRW 26.29 trillion in consolidated revenue and KRW 1.96 trillion in operating profit for the quarter.

Slight QOQ decrease in smartphone shipments was offset by increased ASP, as smartphone sales were driven by high-end smartphones, such as the Galaxy Note 4. In addition, healthy channel inventory levels allowed efficient management of marketing expenditures, leading to improved business performance.

In 2015, the IM Division expects continued growth as emerging markets, such as China and India, are expected to grow for smartphones, and 4G LTE services are expected to expand across the world. Through new materials, innovative design and differentiated features, competitive products will be introduced to drive smartphone sales, while efficiency will be enhanced across R&D and marketing to increase profitability.

With regards to tablets, focus will be placed on both the premium and mass markets, while enhancing product competitiveness for sustained growth. As for wearables, the Mobile Business will continue its market leadership in this category through a diversified product portfolio with unique designs. In the B2B market, business operations for Samsung’s mobile security platform, KNOX, are expected to be expanded through strengthened strategic partnerships with global companies.

In the first quarter of 2015, while seasonality is expected to decrease demand for smartphones and tablets relative to the previous quarter, the Mobile Business will focus on increasing sales and improving business performance through new product line-ups, such as the Galaxy A series.

UHD and Curved TV Markets Provide Opportunities

The CE Division, encompassing the Visual Display (VD), Digital Appliances (DA), Printing Solutions and Health and Medical Equipment (HME) Businesses, posted KRW 14.27 trillion in consolidated revenue and KRW 180 billion in operating profit for the quarter.

The fourth quarter saw market demand for flat panel TVs grow QOQ by more than 20 percent, due to increased demand during the year-end peak season. In particular, the growth rate of premium products, such as the UHD and Curved TVs, exceeded that of the overall TV market, and overall TV sales increased by 40 percent QOQ. As for the Digital Appliance (DA) Business, overall year-on-year (YOY) demand experienced a slight increase.

Looking ahead to the first quarter, the CE Division expects market growth will drop compared to the previous quarter. Nevertheless, the CE Division expects to see further growth of the UHD TV market and strong demand for large-screen TVs. In turn, the UHD and Curved TV line-ups will be expanded, along with the introduction of the new SUHD TV and Tizen Smart TVs, thereby further solidifying the VD Business’ global market leadership in TVs. Meanwhile, the DA Business will introduce new products earlier in the year, and reinforce product marketing focused on increasing premium product sales.

• Samsung launched Galaxy E7 and Galaxy E5, two powerful and compact smartphones that offer a superior viewing and best selfie experience to young customers.

 Samsung Announces the Launch of GALAXY E7 and GALAXY E5

 Powerful and compact-GALAXY E7 and GALAXY E5 smartphones to debut in India

Samsung Electronics launched GALAXY E7 and GALAXY E5 in India. These powerful and compact smartphones, targeting young customers, also offer a superior viewing and best selfie experience.

Mr. Ken Kang, Senior Vice President, Mobile & IT, Samsung India said, “As we embark in this New Year, Samsung heralds a new and exciting era with the introduction of compact, stylish and best-in-class technology smartphones in India. Continuing our legacy of setting new standards for customer-centric innovation, we are focused on redefining the concept of offering revolutionary devices and expand our leadership position within the smartphone market.”

Superior Viewing Experience with Super AMOLED Display

The GALAXY E5 and GALAXY E7 smartphones are powered with Super AMOLED display, which delivers a clearer and more vivid image with deep contrast, better viewing angles and swift response times to provide an amazing viewing experience. The Super AMOLED technology enhances the viewing pleasure of the user while watching videos, browsing internet and reading content. The Adaptive Display technology ensures the best visual experience anywhere, anytime by intelligently optimizing display brightness and colour saturation.

Best Selfie Experience

Both GALAXY E7 and GALAXY E5 are equipped with superior 5 MP Front camera which gives the ultimate ‘selfie experience’ to the user. The GALAXY E5 and GALAXY E7 bring innovative features such as wide angled selfie, selfie with palm gesture, selfie with voice command and beauty face to enable users to capture high quality selfies with ease. The wide Selfie feature for the front camera allows users to capture selfies covering angles up to 120 degrees.

Slim and Compact Design

The GALAXY E7 and GALAXY E5 have a slim and compact design that is 7.3mm thin. The exquisitely crafted unibody smartphone has a narrow bezel and is ergonomically designed with perfect grip for easy one hand operation. In addition, these new smartphones include popular features exclusive to GALAXY devices, such as Ultra-Power Saving Mode, Private Mode and Multi screen.

Samsung GALAXY E7 Product Specifications

Samsung GALAXY E5 Product Specifications

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* Features and functions will vary by market.

* All functions, features, specifications and other product information provided in this document including, but not limited to, the benefits, design, pricing, components, performance, availability, and capabilities are subject to change without notice or obligation.

* User memory space may be less than the total memory space due to system files. User memory may differ by region, carrier, and supporting language, and may change after software upgrade.