UPDATED. 2020-11-27 18:56 (금)
Samsung restarts smartphone ODM operations 
Samsung restarts smartphone ODM operations 
  • Gijong Lee
  • 승인 2020.08.12 19:02
  • 댓글 0
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They will account for 10% of total smartphone production due to COVID-19
Galaxy M01s Image: Samsung
Galaxy M01s Image: Samsung

Samsung Electronics has restarted its original design manufacturing (ODM) operations after it was halted by the COVID-19 pandemic.

The company’s ODM partner Wingtech of China has launched the Galaxy M01s smartphone last month, which is aimed at Asian markets. 

The phone is a derivative of the Galaxy M01 and sells for 10,000 rupees in India.

Galaxy M01s is powered by MediaTek’s Helio P22 (launched in 2018). It has a 6.2-inch Liquid Crystal Display (LCD), 3GB RAM and 32GB internal storage. It comes with GPS and BDS.

Samsung is expected to produce between 24 million to 26 million units of smartphones through ODM partners this year, people familiar with the matter said, accounting for around 10% of its total annual smartphone production.

The South Korean tech giant initially planned to increase that portion to 20% this year but this has changed due to the virus outbreak.

Its ODM partners Wingtech and Huaqin saw their factory operation rate drop to 50% from February to March when the virus was at its peak. This began to recover in the second quarter.

Last year, Samsung-branded phones that the two Chinese companies produced were well received in their target markets, the people said, but they couldn’t handle the jump in orders. Have they been more flexible, Samsung could have sold more phones, they added. The South Korean company produced 30 million units of smartphones using ODM last year.

Samsung produced the Galaxy A01 Core, a derivative of Galaxy A01, made by Huaqin, on its own. It was launched in Asia, the Middle East, Africa and Europe, costing slightly over 100,000 won. It is powered by MediaTek’s MT6793 (launched in 2017). It comes with a 5.3-inch LCD screen, 1GB Ram and 16GB internal storage. It also has a removable battery.

Samsung took the production on its own for the Galaxy A01 Core as it was aimed at multiple markets and at a huge volume.

The South Korean tech giant is launching various derivative models of its Galaxy A series in different markets to protect is market share. Its flagship smartphones are selling less than expected and delays in ODM has made Samsung rely on the mid-tier Galaxy A series even more. The company ceded its top sport in smartphone to Huawei in the second quarter.
 


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