The downsizing expected at Samsung‘s mobile division has seemingly started at the top, with Re/code reporting that three senior execs are leaving the company. This follows the loss of five high-ranking execs earlier in the year.
Three deputies to the head of Samsung Electronics’ mobile division are leaving, a person with knowledge of the matter said on Thursday, as the world’s largest smartphone maker faces a rapid decline in profit […]
The departures included global marketing chief D.J. Lee, the source said, confirming earlier media reports.
All three of those leaving are said to be direct reports to mobile head JK Shin, who survived the cull despite presiding over a 74% drop in profits in his division …
The company’s woes included a dramatic slowing in growth of its flagship handset, sales of the Galaxy S5 down 25% on the previous year’s S4 handset – and 40% below expectations. The company is also struggling to compete in low-end handsets thanks to greatly increased competition from Chinese brands Xiaomi, Lenovo and Huawei.
Samsung is seeking to cut costs by reducing the number of models in its lineup by around a third. It is expected to reveal details of its downsizing operations sometime next week.