Samsung rumored cutting TV LCDs by 80%, focusing on mobile

Samsung logoA rumor in the Korea Economic Daily Tuesday claimed that Samsung was dramatically scaling back its TV LCD production plans. Production would drop from between one to 1.3 million of the larger displays down to just 200,000 to 300,000. Low demand for TVs in a tough economy necessitated slashing production, the paper said.

To help make up for the drop, Samsung would move some of its factory production over to smaller displays, such as for tablets and notebooks.

Samsung declined to comment, citing a declination to comment on market rumors. The statement followed just after it talked about rumors to deny that it would buy HP's PC business.

Such a steep cut isn't that likely but does get some support from LG's own plans to cut TV production. The fellow Korean company is lowering its production by 20 percent under similar conditions.

TV has become one of the most difficult tech markets, both because of the high prices relative to tight budgets but also through a very saturated market and, to a lesser extent, changes in technology habits. Tablets and even smartphones can cut into viewing time and are growing quickly. Both LG and Samsung make displays for themselves, Apple's iPhones and iPads, and some other customers' products. A shift away from TVs may be an attempt just to focus on areas where Samsung can be profitable.

Source: Electronista

Tags: Samsung, TVs

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