Samsung to sell Optical Fibre business to Corning.
In smartphone industry, when the slide starts, it is nearly impossible to contain it. Ask Nokia or HTC or Sony and you will know. Now, Samsung is part of this elite group, where nothing that they are doing is going right. Smartphone sales are down, semi conductor sales are down, tablet sales are down. Management, in order to focus to make a upward turn have decided to shed some non-core business units. As part of this load-shedding, Samsung Electronics and Corning Inc have announced that Samsung’s fibre optics operations will be sold to Corning Inc. This move by Samsung is to help them concentrate more on key business areas like smartphones and display tech. Corning, on the other hand will strengthen their presence in Asian fibre optics market. For the past few quarters, Samsung has been struggling to maintain profits and the fall has been rather drastic. Samsung is losing market share in smartphone business, their flagship devices Galaxy S5 and Note 4 are not selling as much as the company expected and the low range and midrange sales took massive hit due to competition coming out of China that offers better phones for lower price.
“We have decided to sell our fibre optics business, in order to focus on our core business areas,” a Samsung Electronics spokeswoman said.
