According to Yonhap News, South Korea's Samsung Electronics said on Monday that it will withdraw from the LED lighting market in all countries and regions except South Korea.
Samsung Electronics recently notified its partners in North America and Europe that it will end its LED lighting business because of the poor prospects in the industry. However, Korean local LED lighting business will be retained. Samsung Electronics stated that the future LED business will focus on chip packaging and mass production of digital camera backlights and components.
Market participants had predicted that Samsung Electronics will withdraw from overseas LED lighting business, and pointed out that Samsung Electronics' LED business continued to be sluggish in overseas markets not only because of extremely fierce competition with Chinese competitors, but also that the global lighting business has long been a European lighting manufacturer such as Philips Philips. The monopoly of (Philips NV) and Osram AG is also one of the reasons.
Samsung Electronics is currently facing a substantial decline in performance. According to the latest performance report released recently by Samsung Electronics, Samsung Electronics’ operating profit was approximately 4.1 trillion Korea in the third quarter of 2014, a decrease of 59.65% year-on-year, a decrease of 42.98% year-on-year; sales were 47 trillion won, a decrease of 10.22% from the previous month. , a year-on-year decrease of 20.45%. This is Samsung Electronics’ single-quarter operating profit, which fell below 5 trillion won for the first time in 11 quarters and nearly 3 years after the fourth quarter of 2011 (4.67 trillion won), which is also the third quarter of 2011 (4.33 trillion yuan). Won) After the new low.
It is reported that in 2010 Li Jianxi returned to Samsung Electronics and served as chairman, Samsung Group once identified this LED market as a new growth business. However, Samsung Electronics and Samsung Group are currently undergoing personnel and business adjustments. Since Li Jianxi, the chairman of the board of directors, was admitted to the hospital due to a heart attack, the Li Jianxi family represented by his only son, Li Zaixian, is stepping up his efforts to control the Samsung Group.
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