[Asia Economy Reporter Han Jinju] At the 2020 Q3 earnings conference call held by Samsung Electronics on the 29th, Lee Jongmin, Executive Director of the Wireless Business Division, said about the Q4 market outlook, "The market is continuing its recovery, and due to the year-end peak season effects, demand is expected to increase compared to the previous quarter." However, he also forecasted that "smartphone sales will decline compared to the previous quarter due to seasonal factors such as a decrease in the effect of flagship new model launches, and product mix weakening is inevitable."
He added, "Industry competition is intensifying, and due to increased marketing expenses to respond to the year-end peak season, profitability in Q4 is expected to decline."
Regarding next year's market outlook, he said, "Thanks to gradual economic recovery and the full-scale expansion of 5G, mobile market demand next year will increase compared to the previous year," and added, "It is expected to take more time to recover to the 2019 level before COVID-19."
Executive Director Lee added, "Uncertainties related to COVID-19 still persist. The wireless business will strengthen competitiveness of foldable products and promote their popularization to differentiate the flagship lineup, while also expanding smartphone sales by strengthening the mid-to-low-end 5G lineup."
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