Samsung’s Galaxy S6 smartphone may experience a price drop to attract new potential buyers after the company reported its seventh straight decline in profits this July.
The Galaxy S6, which Samsung Electronics launched in April, is a massively redesigned smartphone that was geared toward boosting the company’s profit margins and competing with Apple. But the company instead suffered a 7.3 percent drop in sales from the previous year, and its operating profit fell 4 percent.
“Despite the launch of Galaxy S6, improvement to earnings [from the first quarter] was quite marginal due to low smartphone shipments and an increase in marketing expenses for new product launches,”
Samsung said in a press release, according to CNET.
Samsung had also launched the S6 Edge in April, which features a display that curves on both sides. But because it is more difficult to produce than a model with a normal display,
Samsung was not able to keep up with the model’s demand, according to The Associated Press. In fact, the only bright spot in Samsung’s sales this quarter came from the sales of components powering smartphones, such as in the semiconductor department, which helped to narrow the overall profit decline.
Apple has become a bigger threat to Samsung with its larger-screen devices, such as the 4.7-inch iPhone 6 and the 5.5-inch iPhone 6 Plus, and the Chinese company Xiaomi is also a competitor at the low end.
In an earnings report on Thursday,
Samsung announced the company will be introducing "a new model with a larger screen," according to Mashable. Some rumors indicate that this new addition will be a Galaxy S6 Edge Plus with a 5.7-inch screen that is curved on both sides, as well.
Nevertheless, Samsung expects the smartphone market’s growth to continue slowing down for the second half of 2015, thus prompting the company to “flexibly adjust” its prices for the Galaxy S6 and S6 Edge, much to its consumers’ delight, according to Mashable.
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