Samsung says goodbye to mobile chief

in iPhone edited January 2014

As a big player in the mobile industry, Samsung has been making big changes

lately. The company is stressing more US sales, though it is a global

company, and has been trying to find ways to stay ahead. The new Samsung

Galaxy Note 3 and Smartwatch have been huge hits and are bringing in more

business than ever. You wouldn’t think a change of of mobile chief would be

good news for a company doing so well.

Goodbye Packingham, we’ll see you in another mobile market

Kevin Packingham, according to the New York Times, has left Samsung, though

the Samsung spokesperson was not willing to comment on whether or not his

leaving was voluntary. Whether or not he left on his own isn’t really what

matters so much as how it has affected the company. In the past, Packingham

has been an executive at Sprint Nextel and Amerilink Telecom Corp,

according to Forbes. A statement from Samsung Mobile said “Kevin Packingham

has departed Samsung Mobile. We thank Kevin for his contributions and wish

him well in his future endeavors.”

Large change made by Packingham

One big change that Packingham made to the mobile industry, or at least

with Samsung, was his willingness to promote his own phone, according to

the New York Times. Apparently, it is more common for mobile manufacturers

to require carriers to advertise the phones for them. Instead, Samsung

marketed their own phones ensuring success to carriers, who were then more

than happy to sell the phones. This change has not been followed by many

other manufacturers, but it did set Samsung apart. Though it is unknown if

this really boosted profit margins for Samsung, it is still a smart move to

gain more favor with the person selling your phone.

Is it good or bad for Samsung?

So far, there hasn’t been much of a change seen for Samsung. Apparently,

nobody is too worried about the loss of Packingham. People are much more

concerned with the amount of profit Samsung is making. According to the

Wall Street Journal, Samsung has been reporting huge profit increases in

the last couple of quarters, and the most recent quarter is expected to be

even better. Compared with last year, profits are supposed to be up 11 to

15 percent. Still, the share prices are fairly low. You would think some of

this news would have a positive impact on the value of Samsung, but I guess

people aren’t that interested.

The Wall Street Journal believes that the low share prices may be due to

the fact that Samsung sells more than just phones, and a third of the

profit comes from phone sales. It sounds like a good thing, but it means

that the other areas of the business are not doing as well. It may not

matter as long as Samsung can keep selling phones and innovating to get

more business.

Samsung is now the world’s biggest smartphone maker by shipments. Because

of this, you can expect Samsung to do pretty well, even with the loss of

its mobile chief.

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