Tag Archives: Samsung

Samsung CEO Kwon Oh-hyun Announces Shock Resignation as Profits Surge

Kwon Oh-hyun’s resignation deepens concerns of a leadership vacuum at the tech giant.

Samsung Electronics Co Ltd ssnlf said on Friday its CEO and Vice Chairman Kwon Oh-hyun plans to step down from management, deepening concerns over a leadership vacuum at the tech giant after group scion Jay Y. Lee was jailed for bribery.

The surprise resignation of Samsung’s chip and display head came as he was expected to take a bigger role following Lee’s arrest in February and the departures of other key executives in the wake of the bribery scandal.

The move came on the same day the South Korean smartphone maker forecast record third-quarter operating profit on the back of the memory chip business which Kwon was instrumental in building into the world leader.

“The timing is nonsensical. Samsung tipped record earnings, it’s going to be better in the fourth-quarter, and all that’s been driven by Kwon’s components business,” said Park Ju-gun, head of research firm CEO Score.

Kwon, 64, is seen as Samsung Group No. 2. As well as being chairman of the board and a board director, he heads the components business – including memory chips – and the display business.

In a statement, the man known as “Mr Chip” said the time had come to “start anew with new sprit and young leadership”.

“We are fortunately making record earnings right now, but this is the fruit of past decisions and investments; we are not able to even get close to finding new growth engines by reading future trends right now,” he added.

The world’s biggest maker of memory chips, smartphones and TVs is set to smash its annual profit record this year, thanks partly to soaring demand for memory chips. Semiconductors were Samsung’s top earner in the three months through June, making a record 8 trillion won ($ 7.20 billion).

The global chip industry is undergoing a major shift with Japan’s Toshiba Corp partnering with home rival SK Hynix, and other firms consolidating in search of new growth areas like artificial intelligence and automobiles.

Shares in Samsung, worth about $ 350 billion, fell 0.6 percent on Friday after hitting an all-time high earlier in the day.

CHANGING THE OLD GUARD

The departure of 32-year Samsung veteran Kwon after five years in the top job comes at a time of leadership uncertainty at the company.

Choi Gee-sung, Jay Lee’s mentor, quit earlier this year for his alleged role in the bribery scandal, and Samsung Electronics now needs to fill several more key roles with Kwon’s exit.

Kwon would serve out his term as chairman of the board and board director until March 2018, the company said. He is also not stepping down immediately from his two other roles.

A Samsung Electronics spokeswoman declined comment on the exact timing of succession and potential successors for Kwon’s roles.

While Samsung Group is South Korea’s top conglomerate with businesses ranging from smartphones to hotels – it has had no ‘Plan B’ for taking big decisions following Lee’s arrest, people familiar with the matter have said.

“I‘m worried about a leadership vacuum at a time when Lee is absent from management,” Chung Sun-sup, chief executive of research firm Chaebul.com, said following Kwon’s announcement.

The leadership changes also could be an opportunity for a new generation to emerge, he added.

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Samsung scion's defense fights back as legal appeal begins

SEOUL (Reuters) – The heir to South Korea’s Samsung Group appeared in a packed court on Thursday for the first day of arguments in the appeal of his five-year jail term for corruption.

The 49-year-old Jay Y. Lee was convicted by a lower court in August of bribing former president Park Geun-hye to help strengthen his control of the crown jewel in the conglomerate, Samsung Electronics, one of the world’s biggest technology companies.

The appellate court hearing the appeal is likely to try to rule on the case by next February, legal experts said. Whichever side loses could take the case to the Supreme Court, the final court of appeal in South Korea.

Lee’s presence marked his first public appearance since the August ruling. He did not speak during the early proceedings other than giving his birth date and address.

The lower court in August had ruled that while Lee never asked for Park’s help directly, the fact that a 2015 merger of two Samsung affiliates did help cement Lee’s control over Samsung Electronics “implied” he was asking for the president’s help to strengthen his control of the firm.

The defense strongly challenged the lower court’s logic that Lee’s actions “implied” solicitation for help from Park by providing financial support for the former president’s close friend and confidante Choi Soon-sil.

The prosecution, which has lodged a cross-appeal against the lower court ruling that found Lee innocent on some charges, said the court’s decision to not acknowledge explicit solicitation for Park’s help from Samsung despite the evidence found “did not make sense”.

DEFENSE FIGHTS BACK

The defense, which spent much of its time during the initial trial refuting the prosecution’s individual charges, is expected to focus on a few key arguments in the appeal – including whether there was in fact an “ordinary type of bribery” as defined under South Korean law, which says only civil servants come under the statute.

Park’s friend Choi was not a civil servant.

The lower court found that Samsung’s financial support of 7.2 billion won ($ 6.27 million) to sponsor the equestrian career of Choi’s daughter constituted an ordinary type of bribery, as “it can be considered the same as she (Park) herself receiving it.”

The defense is expected to strongly challenge this by saying that the prosecution, on whom the burden of proof lies, has not proved collusion between Park and Choi.

Reporting by Joyce Lee; Additional reporting by Heekyong Yang; Editing by Neil Fullick

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The Back Button On The Right Side Of The Phone Is Dumb, And I Blame Samsung

The back button should always be on the left side


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CES 2017: Samsung adds Android-capable Chromebooks to its mix

As I sit on a carpeted floor in a Las Vegas conference center, queuing up for yet another CES press event, I’m writing this article on an Asus Flip, a low-cost small Chromebook that was one of the first to be able to handle both Chrome OS and Android apps. Chromebooks are an interesting type of technology; created for an operating system meant to be solely online — and as a result, not accepted as readily as either Mac OS or Windows. The addition of Android apps could prove a push in the right direction — or, at least, a push toward a more popular interface.

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The Galaxy Note 2 that caught fire on a plane is just horrible timing for Samsung

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Things just keep getting worse and worse for Samsung.

After weeks of investigating cases of Galaxy Note7 phones catching on fire, destroying people’s cars, and even injuring people, Samsung and the United States Consumer Product Safety Commission (CPSC) issued an official recall for 1 million of the phones sold in the U.S.

As per the Federal Aviation Administration (FAA), affected Note7 phones with defective batteries must be turned off and can’t be used during flights. Many public transportation agencies like New York City’s MTA have also urged riders not to use the Note7. Read more…

More about Explosions, Smartphones, Android, Note, and Note 2


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Turn off all Samsung Note devices on planes, aviation authority warns

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On Friday morning, another Samsung-related phone incident took place onboard an aircraft carrier, but much to everyone’s surprise, it wasn’t a Galaxy Note7. 

A Samsung Galaxy Note 2 — released back in 2012 — caught fire mid-air on an IndiGo plane en route to Chennai from Singapore. Passengers noticed smoke in the cabin and notified crew members, who discovered it was coming from a Samsung Note 2 in the overhead bins and extinguished the fire.

Following the incident, the aviation authority in India issued a statement directed to all Samsung Note users: turn off your phones or leave them at home.  Read more…

More about Faa, Warning, Aircrafts, Conversations, and Galaxy Note7


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Report: Samsung to Issue ‘Unprecedented’ Recall of Note 7 Amid Explosion Fears

After reports emerged on social media of Samsung’s Galaxy Note 7 exploding when charged , the company announced on Wednesday that it was delaying shipments of its new flagship device for “additional tests being conducted for product quality.” Now, it seems the smartphone maker is taking more drastic measures, with South Korean media reporting that Samsung plans to issue a worldwide recall in “less than a week.”

Read more…


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Samsung is finally shutting down its exclusive Milk Music service


Exactly a month from now, Samsung is shuttering its oddly-named Milk Music streaming service in the US. Samsung explained its decision to close down Milk Music in a statement: We have made the strategic decision to invest in a partner model focused on seamlessly integrating the best music services available today into our family of Galaxy devices. We believe that working with partners will accelerate innovation, enhance device sales and provide amazing new experiences for our customers. Variety noted that Samsung urged existing users to switch to Slacker’s music service, which has been powering Milk since it was first launched.…

This story continues at The Next Web


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The Only Thing Left Holding Back Chinese Phones From Challenging iPhone And Samsung

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In my review of the Huawei P9, I gushed about how the device was so well-built, it threw the “Made in China” stigma out the window. In the months since, I’ve used several more Chinese phones, and my stance on that has only strengthened. The OnePlus 3, Meizu MX6, Xiaomi Mi
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Samsung Electronics’ M&As focus on cloud, B2B services

Samsung pushed through 22 M&As since 2007, including Canada’s digital ad startup AdGear in May and U.S. cloud computing firm Joyent in June.

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