Smartphones driving Samsung's profits

Increasing smartphone sales drove a record $4.7 billion profit for Samsung as posted by Samsung Electronics Co. will spend $22 billion this year to boost production of chips and flat screens to pull further ahead of smaller rivals. 

Smartphones account for around 40 percent of all Samsung’s handset shipments.Samsung overtook Apple in the third quarter but in 4th quarter Apple rose again to make upto 37 million sales of iPhones.

Fund Manager at Korea Investment Management Baik Jae-yer thinks the battle between Apple and Smartphone will go on. “The smartphone market will expand this year to more mid-and low-end models that are affordable to the wider public,” Baik said. “Rather than focus on market share, I’d point out the strong contribution of Samsung’s handset business to earnings growth and margins.”