While chipmakers around the world, notably Intel and Qualcomm, are languishing in the wake of declining PC and device sales, experts believe Samsung might fare better. They predict that Samsung will suffer a softer blow in Q1 of 2016.
While Intel has announced that it will be letting go of 12,000 of its employees, Qualcomm has said it is expecting its shipments in Q3 2016 to fall by as much as 22 percent. [Qualcomm's fiscal year ends on Sept. 27 this year.] However, with Samsung, experts believe that its strong technological edge will not only help it boost market share, but also boost revenue, Reuters reported.
The technological edge in question is Samsung being a leading producer of DRAM chips, which device-makers are moving to, owing to their power efficiency. Device-makers are also preferring to include 3D NAND chips and solid-state drives (SSDs) for storage for the same reason, and Samsung happens to be a key manufacturer of these components as well.
"The technological gap between Samsung and its competitors in fields such as DRAM and NAND has been widening lately, which helps the company avoid the rate of profit decline seen at other firms," Song Myung-sub, an analyst at HI Investment & Securities, told Reuters.
Samsung is expected to declare its results on Thursday, and although it is expected to suffer the consequences of a market slowdown, much like its rivals, some analysts predict that the drop in revenue for Samsung might be only as low as 10 percent.
In addition, the world's no. 1 smartphone company has seen success with its flagship devices, the Galaxy S7 and S7 edge, which are expected to further drive up its numbers.
