Source : DigitimesIn August, Samsung provoked an outcry from its clients when it decided to raise the price of its memory chips 20%, selling them at a higher cost than the rest of the market. A new decision has come about which will further delicate the situation with its clients.
After having sold a flash music player and SSD drives, the company has decided to commercialise its memory cards, USB thumb drives, and other products based on flash under its own brand.
At the same time, in order to assure adequate supply and certainly to raise the price of flash memory, Samsung will be substantially decreasing the quantity of memory that it will sell to OEMs and other companies who have now become competitors.
They are giving themselves priority over the other manufactures to ensure their supply. It is unknown whether Apple will also be affected by this artificially created shortage, but they have been carefully diversifying their sources in recent months.
The first Samsung products will be sold in Europe where the company benefits from a good brand image.
So, in a depressed and losing market, the company hopes to make money by getting the beneficial profit margins that manufacturers of memory cards and USB thumb drives have experienced.
[translation by jwa]
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