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the russian war on ukraine prompted samsung to make a fateful decision regarding its smartphone industry, which the company has never made in many years, especially with regard to medium and leading phones.

samsung is one of the pioneers of the smartphone industry, with the largest sales in android phones, and has a reputation worldwide that helps it achieve high sales every year.

according to south korean media, samsung has recently decided to significantly reduce the production of smartphones, both medium and leading, because of the economic conditions currently in the world.

3 main reasons behind samsung's decision

the south korean company decided to reduce smartphone production by 30 million fewer units in 2022, representing nearly 20 percent of what it produced last year, the reports said, citing informed sources within samsung.

samsung's decision came for several reasons, the most important of which is the difficult economic situation in the world with high inflation and a significant impact on sales compared to previous years.

The world was still paying the price for decisions to confront the Covid-19 pandemic, which had begun to spread in 2020 and imposed total closures on the world.

the report stressed that corona continues to pose a threat to the world, as china is currently suffering from the continued spread of the virus and has decided to close several industrial cities in order to cope with the crisis and control it, which portends economic problems affecting the world.

war in ukraine

the russian invasion of ukraine is the second reason for samsung's production cut in 2022, as the world is experiencing tensions between russia and western countries, especially as the military operation in ukraine continues and enters the third month.

the war triggered sanctions by western countries against russia, prompting the latter to take decisions to ban the export of energy to europe, which would eventually mean a significant rise in prices and an impact on the purchase of ordinary consumers.

the third major reason cited by the newspaper is the continuing shortage of components in the smartphone industry, namely semiconductors, which have recently become a headache at the head of technology companies.