Even as their factories return to normal, Samsung, Apple and other smartphone makers are bracing for a steep hit.
Earlier this month, before the full scale of the crisis in Europe and the United States became apparent, research firm Strategy Analytics said it expected global shipments of smartphones in 2020 to be 10% lower than expected “due to the fear and paralysis caused by coronavirus.”
“No one wins. All major [smartphone makers] will take a hit and ship [fewer] smartphones than pre-coronavirus outbreak,” the firm said in a report.
It’s not all doom and gloom for Samsung. The company is also a major supplier of memory chips, a market that has been in a slump in recent years due to falling prices and a glut of inventory.
Samsung Electronics chief executive Kim Ki-nam said on Wednesday that the company expects chip demand to increase this year thanks to growth in markets such as artificial intelligence, driverless cars and 5G phones and networks.
-— CNN’s Sophie Jeong contributed to this report.
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