Samsung makes smart call

Written By Unknown on Kamis, 14 Maret 2013 | 20.25

Samsung is expected to unveil its newest smartphone tonight at Radio City Music Hall in New York, blocks from prime competitor Apple's flagship store.

"It's a good place to have a flashy event," said Max Wolff, senior analyst at Greencrest Capital. "They're obviously copying Apple, which is king of the marketing game."

The Galaxy S IV is expected to have a larger screen and a better camera than its predecessor, as well as technology that tracks eye movements to let users scroll through articles, said N. Venkat Venkatraman, a Boston University management professor.

"It does put pressure on Apple to respond," said Roger Kay, founder and president of Endpoint Technologies Associates in Wayland. "The new iPhone will have to have some really cool features, or else Apple will have to concede some of that premium market. Apple can't charge the same 'Monopoly' rent. It's a pitched battle at this point, and the outcome is far from assured."

Samsung has the advantage of releasing about two phones a year, whereas Apple typically unveils one, Wolff said.

"It's a pressure tactic," he said. "It shows a strategy of being more aggressive on market share and less focused on margin. This is Samsung trying to solidify its lead not only in market share but also mind share. They're trying to brand into everyone's head: For the next new thing in smartphones, think Samsung."

Samsung has sold 100 million Galaxy S phones since they first came out in 2010. Although that's well below the 268 million iPhones Apple has sold in the same period, Samsung's sales rate is catching up.

Research firm Strategy Analytics said the Galaxy S III overtook Apple's iPhone 4S as the world's best-selling smartphone for the first time in the third quarter of last year, as Apple fans were holding off for the iPhone 5, which took back the crown in the fourth quarter.

Herald wire services contributed to this report.


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