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Apple has marked the close of a historic 2019 for its Services offerings, a year that introduced Apple Arcade, Apple TV+, Apple News+ and Apple Card, and celebrated the continued success of the App Store, Apple Music, iCloud and more experiences only Apple can create and deliver. Apple provides customers with the highest-quality services along with an unparalleled commitment to privacy and security, and offers creators and developers the opportunity to bring their creative visions to people around the world.
“2019 was the biggest year for Services in Apple’s history. We introduced several exciting new experiences for our customers, all while setting the standard for user privacy and security,” said Eddy Cue, Apple’s senior vice president of Internet Software and Services. “We begin the new decade with incredible momentum and gratitude to our customers who have shown such enthusiasm for all of our Services, and we continue to celebrate the work of the world’s best creators, storytellers, journalists and developers.”
Apple’s ongoing focus on the deep integration of hardware, software and services drove all of its platforms to new heights in 2019.
The App Store is the world’s safest and most vibrant app marketplace, with over half a billion people visiting each week. It remains the safest place for users to find software and provides developers of all sizes access to customers in 155 countries. Since the App Store launched in 2008, developers have earned over $155 billion, with a quarter of those earnings coming from the past year alone. As a measure of the excitement going into 2020, App Store customers spent a record $1.42 billion between Christmas Eve and New Year’s Eve, a 16 percent increase over last year, and $386 million on New Year’s Day 2020 alone, a 20 percent increase over last year and a new single-day record.
Apple Music is the most complete music experience, offering over 60 million songs and world class music experts and tastemakers curating thousands of playlists and daily selections in 115 countries. Apple Music is the best music service for iPhone, iPad, Apple Watch, Apple TV, Mac, HomePod and CarPlay. The new time-synced lyrics feature was a highlight in 2019: over 50 percent of listeners have used it on iOS 13. The innovative Beats 1 radio station offers exclusive shows by Frank Ocean, Nicki Minaj, The Weeknd, DJ Khaled and Elton John. Apple Music provides artists and songwriters at every level of their career with a global platform to reach new and existing audiences.
Apple TV+ is the home of Apple Originals from the world’s greatest storytellers, including “The Morning Show,” “Dickinson,” “For All Mankind,” “See” and “Servant.” Apple TV+ made history as the first streaming platform to receive multiple Golden Globe and Screen Actors Guild nominations in its launch year, and is the first and only streaming service to debut instantly in over 100 countries and regions.
The Apple TV app brings together the different ways to discover and watch shows, movies and more in one app, and is available on iPhone, iPad, Apple TV, Mac, iPod touch, select Samsung smart TVs, and Amazon Fire TV and Roku devices, and will be available on LG, Sony and VIZIO smart TVs later this year. The Apple TV app now offers over 30 Apple TV channels — direct subscriptions to premium video services so customers can watch both online and offline, ad-free and on demand, all in one app.
Apple Arcade is a groundbreaking game subscription service within the App Store, offering users unlimited access to the entire catalog of 100+ new, exclusive games, all playable across iPhone, iPad, iPod touch, Mac and Apple TV. Apple Arcade features award-winning titles such as “Sayonara Wild Hearts,” “Assemble with Care” and “Mini Motorways,” and throughout 2020, the service will add new games and expansions every month.
Apple News draws over 100 million monthly active users in the US, UK, Australia and Canada and has revolutionised how users access news from all their favourite sources. Apple News+ offers an all-in-one subscription to hundreds of the world’s top magazines and major newspapers. In 2020, Apple News will provide live coverage of key moments in the US presidential election in partnership with ABC News.
Apple Podcasts offers free audio stories that entertain, inform and inspire, and now delivers listeners over 800,000 shows in 155 countries on more devices than ever before. Listeners can search topics and people within the audio to find new shows and episodes.
Apple Card and Apple Pay lead innovation with the ways customers pay for goods and services, and access everyday experiences. Last month, customers began using Apple Card Monthly Installments to purchase new iPhones and pay for them over 24 months with zero interest. In 2019, entry to more than 150 stadiums, ballparks, arenas and entertainment venues around the world was available with contactless tickets on iPhone and Apple Watch. Customers could ride public transit with Apple Pay in some of the largest cities in the world, including Shanghai, Beijing, Tokyo, Moscow, London and New York. In 2020, customers will be able to easily tap their iPhone and Apple Watch to ride trains and buses in even more cities, including Washington, D.C., Shenzhen, Guangzhou and Foshan, and access dorms and services at additional universities across the US.
iCloud powers a seamless experience in keeping a customer’s photos, videos, files, app data and more safe, up to date and available across all their devices. Over 75 percent of iCloud users are protected with two-factor authentication, an extra layer of security designed to ensure that no one else can access their account or data. With Family Sharing, up to six family members can share access to Apple services, including Apple TV+, Apple News+, Apple Arcade, Apple Music and an iCloud storage plan, as well as individual music, movie, TV, book and app purchases.
In 2020, Apple will continue to delight customers, collaborate with developers and creators, offering new levels of creativity, choice and innovation across original series and films, podcasts, music, news, games, apps, payments and unique experiences only Apple can deliver.
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Samsung Introduces the new Galaxy Note10 Lite

Posted by radio On January - 14 - 2020 ADD COMMENTS

Samsung has announced the new Galaxy Note10 Lite. Building on the legacy of the Galaxy Note 10 series, this Lite model brings key premium features such as the latest camera technology, signature S Pen, immersive display and a long-lasting battery at an accessible price point. The Galaxy Note10 Lite will be launched in South Africa over the next few weeks.

“The Galaxy Note devices have met consumer wants and demands around the world. These devices represent our continuous effort to deliver industry leading innovations, from performance and power to intelligence and services,” said Justin Hume, Director: Integrated Mobility at Samsung South Africa. “The Galaxy Note10 Lite, which will be released in South Africa over the next few weeks, will introduce those distinct key premium features that make up a Galaxy Note experience.”

 

Enjoy the premium Note experience and increase your productivity on the Galaxy Note10 Lite with the signature S Pen. Bluetooth Low-Energy (BLE) support means you can navigate a presentation, control your video content or take a picture, all with a simple click of the S Pen. Air Command will also give you quick and easy access to the signature S Pen features you need quickly and easily. The Samsung Notes app makes note taking faster and easier when on the go. And now, you can turn those handwritten notes into text for easy editing and sharing.

 

Galaxy Premium Features:

The Galaxy Note10 Lite will give even more people access to key premium Galaxy features:

 

Uninterrupted Display: Galaxy Note10 Lite offer edge-to-edge Infinity-O displays. With a 6.7-inch screen size, the display provides an expansive and immersive experience, allowing you to fully enjoy and get lost in your favorite multimedia content.

Larger and Long-Lasting Battery: The Galaxy Note10 Lite is packed with a large 4,500mAh battery and super-fast charging capabilities, so you can stay connected longer and spend more time doing the things you love.

Services and Security: The Galaxy Note10 Lite comes with Samsung’s ecosystem of apps and services, including Bixby, Samsung Pay and Samsung Health. As you would expect, this device is also protected with defense-grade security platform Samsung Knox.

 

Specifications:

6.7-inch Full HD+Super AMOLED Infinity-O Display,

2400×1080 (394ppi)

Super AMOLED Plus display creates ergonomic design with thin and light display panel by adopting flexible OLED technology”
Screen measured diagonally as a full rectangle without accounting for the rounded corners; actual viewable area is less due to the rounded corners and camera hole.
Camera  

 

 

 

Rear: Triple Camera– Ultra Wide: 12MP F2.2

– Wide-angle: 12MP Dual Pixel AF F1.7 OIS

– Telephoto: 12MP AF F2.4 OIS

 

Front: 32MP F2.2

Body 76.1 x 163.7 x 8.7mm, 199g
AP 10nm 64-bit Octa-core processor (Quad 2.7GHz + Quad 1.7GHz)
Memory 6/8GB RAM with 128GB internal storage
May differ by model, colour, market and mobile operator.
User memory is less than the total memory due to storage of the operating system and software used to operate the device features. Actual user memory will vary depending on the operator and may change after software upgrades are performed.
Battery 4,500mAh(typical)
Typical value tested under third-party laboratory condition. Typical value is the estimated average value considering the deviation in battery capacity among the battery samples tested under IEC 61960 standard. Rated (minimum) capacity is 4,370mAh. Actual battery life may vary depending on network environment, usage patterns and other factors.
OS Android 10.0
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Helpful info for choosing your next TV

Posted by radio On December - 19 - 2019 ADD COMMENTS

South Africans love their TV’s. From their favourite soapies to great sporting moments, it’s a part of our homes, culture and some of our best times with family and friends. However, when choosing a new TV, here are a few frequently asked questions you may need answered.

What is a ‘Quantum Dot’?

 

Quantum dots are tiny particles of between two and 10 nanometres in diameter. Each dot gives off a different colour according to its size. This is the reason they’re so brilliant at displaying colour.

 

Is there a difference between OLED and QLED?

 

There definitely is. Since QLED TVs don’t use organic elements, they are essentially immune to screen burn-in. This is a display issue in which certain facets of an image shown on a TV screen, such as a channel logo, are either not shown properly, or fragments of that image remain on the screen. It then appears longer, as though it is embedded onto the display. In fact, TechRader addressed the QLED versus OLED debate by citing Samsung QLED as ‘’Capable of competing with and often surpassing even the best OLED’s.

 

What does colour volume mean?

 

It means that colour doesn’t ever fade, in any lighting condition. It pinpoints colour accuracy, improved brightness and the deepest blacks are achieved on an active display.

 

What TV is best for my bedroom?

 

Screen size, resolution and display type, are all things to take into consideration to make sure it’s the right TV for your space. But the best place to start is viewing distance, which will ultimately help to determine those factors. Since the TV may be closer to you in the bedroom, a high-definition 4K TV like Samsung QLED TV would be good to ensure that you get crisp details on screen despite it being in closer proximity. With the new QLED 8K the experience is heightened even more. Unlike conventional TV’s when you’re closer to the TV you see the actual picture, in crystal clarity, instead of a sea of fuzzy pixels. Of course, this is great in every other room as well.

What TV is best during the day?

 

When you watch TV during the day, the sun can wash out details or even completely cover up a portion of the screen. A TV with HDR (High Dynamic Range) helps in this situation as it keeps details clear on-screen even when the scene is dark or bright. In addition to HDR capabilities, consider picking up a TV which helps reflect light sources to lessen glare, like Samsung QLED.

 

The Samsung 2019 QLED range is, however, an easy choice. It has taken the experience to a whole new level. Not only is the range, its largest screen size offering ever but it delivers, a truly incredible viewing experience and unprecedented value.

 

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The mobile data pricing conundrum

Posted by radio On December - 19 - 2019 ADD COMMENTS

[By: Sabelo Dlamini, Senior Research & Consulting Manager at IDC]

 

There needs to be an analysis of more advanced, technically driven pricing structures, says IDC.

As the market continues to digest the Competition Commission’s summary findings on the data services market in South Africa, some experts believe that their methodology in coming up with the findings was not necessarily the right approach. According to Sabelo Dlamini, Senior Research and Consulting Manager at International Data Corporation (IDC) South Africa, the South African mobile industry cannot be compared to those in other African countries.

 

 

“There are two issues that need to be considered here,” he says. “Firstly, the Competition Commission has focused quite strongly on the disparity between post- and prepaid pricing, but this requires further, more in-depth scrutiny. Secondly, they are comparing South African mobile data pricing to other African countries, but the comparison is not as simple as it seems.”

 

 

Dlamini says the South African mobile operators have gone the extra mile in deploying their networks while they did not have the required 4G spectrum. “These network operators had to work with 3G spectrum, re-farming that spectrum to deliver 4G services. They have invested a lot in terms of technological design and engineering to achieve this. That means that the design and quality of service and experience in South Africa are much better when compared to other African countries.”

 

He adds that in most other African countries, the operators have hand-picked certain cities or areas when deploying the networks or planning the coverage, compared to South Africa where there is more-or-less full coverage across the country. “The situation in South Africa is very different from that in other countries on the continent. The telcos have invested a lot in infrastructure in the country and they are therefore expecting higher returns.”

 

 

From a pricing perspective, Dlamini believes the Competition Commission should be delving deeper into the complex pricing models rather than just focusing on the price per Gig. “The Competition Commission needs to unpack the current pricing structures in more detail to determine how they can be remodelled to benefit the poor. Yes, one could easily focus on the price per Gig, but that will result in blanket pricing, which will ultimately disadvantage end-users or customers,” he says.

 

The pricing models need to be unpacked technically as there are several innovative products that can be used to implement more adaptive and demand-based pricing. “Just focusing on the standard price per Gig is a more primitive way of pricing. However, if, using technology if you adjust your pricing based on the amount of congestion and usage of a specific cell, coupling those with some free zones, free minutes and zero-rated content, it would have a far more beneficial outcome for end-users or customers.”

 

Impact on MTN and Vodacom?

Regardless of whether the Competition Commission pushes ahead with the findings, consumers will continue to communicate and use data as they are using it now, possibly even more. “The biggest impact on the operators will be that they will take longer to repay the CAPEX costs of their network investments. But, focusing on a standard price list model could result in customers losing the benefit of free zones, minutes and zero-rated content, which will disadvantage them even further,” says Dlamini. “That is why we are urging the Competition Commission to delve deeper into existing technically advanced pricing models to rather determine how those can be made more efficient and more affordable to the end-user,” he says.

 

There could also be a broader negative impact on the industry if both MTN and Vodacom half their prices. “Telkom and Cell C currently position themselves based on more affordable pricing. Should the two bigger operators bring their cost down significantly, it could have unintended consequences on the smaller operators, making it more difficult for them to compete.”

 

It is time to explore alternatives to mobile

Dlamini concludes that the mobile networks in South Africa have reached saturation level and alternatives must be explored to connect the unconnected efficiently. “There are several technologies available outside of mobile that can be used to connect the unconnected,” he says. “We have seen several organisations and projects within government, such as USAASA and SA Connect, that have not yielded the expected results. Building mobile networks is expensive, so if we are serious about connecting the unconnected, we need to start looking at alternative technologies, such as TV Whitespaces, WiFi and satellite.”

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Facebook (facebook.com) today released its ‘2019 Year in Review’ infographic, showcasing just some of its investments across Sub-Saharan in 2019.  Committed to giving people the power to build community and bring the world closer together, throughout the year this translated into significant support and investments into growing the ecosystem of developers, entrepreneurs, creatives, and many other communities.

 

During 2019, Facebook Africa:

  • Trained over 7,000 woman-owned businesses in digital skills across sub Saharan Africa;

  • Celebrated 79 Community Leadership Circle meetups with over 2 ,650 people attending;

  • Reached its 45th Developer Circle, with circles now in 17 African countries and representing more than 70,000 members;

  • Hosted the first-ever iD8 Nairobi Conference with over 400 African developers and startups in attendance;

  • Expanded Third-Party Fact-Checking across 10 African countries;

  • Announced the creation of the world’s most detailed population density maps of Africa, created by Facebook AI researchers to help humanitarian aid and relief agencies; and much more.

Nunu Ntshingila, Regional Director Facebook Africa, commented: “Africa is important to Facebook, and we’re committed to investing in its youth, entrepreneurs, the creative industries, tech ecosystem as well as its many other communities. Our 2019 Year in Review highlights just some of these investments, and the impact we’ve been able to have here in the region. I’m excited about the future of Facebook and our family of apps here in Africa, as well as the potential of this young, mobile and dynamic continent, and look forward to creating partnerships in 2020 and beyond.”

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Samsung announced its headline sponsorship of the latest in Cassper Nyovest’s famous FillUp series of concerts. This December, Samsung will be firmly behind the popular hip hop star, in the Royal Bafokeng Stadium in Rustenburg, as he once again raises the bar for South African artists. Cassper Nyovest’s Fill Up concert series is the most successful hip hop focused event in Africa. This is seamlessly aligned to Samsung’s position as the most loved brand in South Africa in the Sunday Times Top Brand survey, for the 7th year in a row. Additionally, the show’s innovative stage design and production has set the standard and influenced major artists worldwide.

“Cassper is a pioneer intent on blazing new trails. He is the perfect epitome of Samsung’s brand ethos ‘Do What You Can’t”, says Cambridge Mokanyane, Chief Marketing Officer at Samsung South Africa.

 

Consumers will also be introduced to the Samsung Galaxy A30s, a special edition with enhancement such as Celebrity Alarm and Galaxy Theme, allowing our customers to enjoy flagship features such as Samsung Pay and Bixby Alarm so they Don’t Live Life Nje. The new Samsung Galaxy A30s has triple camera, uninterrupted infinity display and long-lasting battery life at an affordable price that will strike a chord with all South Africans.

 

Event Details
Date: 15 December 2019
Time: 14:00 – 00:00
Venue: Royal Bafokeng – Rustenburg

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In the past week, the Minister of Communications Stella Ndabeni-Abrahams hosted a roundtable discussion at AfricaCom titled, ‘Fourth Industrial Revolution (4IR) Human Capital Development for Africa.’ She has also recently spoken of an ecosystem of 4IR in “building a capable 4AR Army” to respond to challenges regarding economic growth faced in the youth sector.

Additionally, also just in the past week, a report from the African Development Bank (AfDB) was launched at the Africa Investment Forum that shows a continent that is ready to embrace (4IR) but needs to improve access to finance, skills and inclusive growth. The report, titled Potential of the Fourth Industrial Revolution in Africa, highlighted specific areas of growth and investment on the continent, most notably in new technology-led areas of Artificial Intelligence (AI), Big Data Analytics,  additive manufacturing and drones, and the internet of things.

 

While the report, and the related discussion at The Investment Forum highlighted many of the challenges facing Africa such as lack of coherent, policy, investment in connectivity infrastructure and access to data and the internet, it also noted that for the first time Africa is embarking on an industrial revolution at the same time as the rest of the world.

 

In September this year, an investment of R140 million ($9.2 million) by US multinational technology conglomerate Cisco was signed as part of a partnership with government in three key areas: job creation through Cisco incubation centres, skills and talent development and National Cyber Security.

 

The Kagiso Trust also just published the findings of a recently commissioned qualitative and quantitative research study,  the first South African study to evaluate, on a large scale, citizen awareness of 4IR and its potential impact on South African society in general.

 

Some of the results of the research study were:

  • Almost half (49.1%) of the respondents believe there will be a societal impact from 4IR.

  • 2 in 5 of the respondents believe that there will be no job creation with the advent of 4IR.

  • Just over half of the respondents believe that 4IR will result in large-scale job losses.

  • Only a quarter of the respondents believe that the 4IR will improve societal equality.

 

With so many developments rapidly taking place, and the still general lack of understanding about just what 4IR entails,  it is critical to take a few steps back and clarify some of the essential points around 4IR and how we embrace and pro-actively address the needs of the 4IR future.

 

4IR refers to a new era that is rooted in a new technological phenomenon—digitalization, artificial intelligence, algorithms and data. In order for an economy to benefit from these changes, as opposed to suffer the consequences of the much predicted mass-unemployment that this revolution will hail, there needs to be a 4IR ready workforce.

 

While many of these technological innovations will mean job losses, there is also the massive opportunity to create jobs via some of the key skills areas required for this new world of work. Some of the essential skill sets include:  the “Cloud”, artificial intelligence, the internet of things, data science and analytics, and cyber security.

 

Earlier this year, the National Economic Development and Labour Council (NEDLAC) published a report on the future of work in SA.  The report also imagines what the world of work will look like in SA by 2030. They listed the  12 main driving forces that will shape the South African workplace of the future and placed 4IR and technology at the top of the list.  With the establishment of the Presidential Commission on the Fourth Industrial Revolution, of which the MICT SETA consults, policy is being developed to address 4IR across various sectors including agriculture, finance, mining, manufacturing, ICT and electronics and business.

 

For the MICT SETA (Media, Information, and Community Technology), this understanding is  especially important as we work with both government and the private sector to train the next generation of workers.

 

In order to pro-actively address the imminent changes to the work force of South Africa, the MICT SETA has established a  4IR division and Advisory Committees with four work stream areas of focus:  education, research, policy and labour.  The division will input into Presidential 4IR Commission programmes and ensure alignment with other institutions such as  SETAs, academia, public funded research institutions, labour and community on 4IR policy and implementation. The MICT SETA is also in the process of reviewing and developing new qualification that will address the 4IR skills needed for future of works.

 

As the Head of 4IR at the MICT SETA I am able to see first-hand both the challenges and the opportunities that lie ahead and am confident that the multi-faceted and collaborative approach that we are taking will yield results.

 

The opportunity to create a 4IR ready country and workforce will take an immense amount of resources – but fortunately the process has already begun and as we head into 2020 will accelerate into high gear.

 

For more information on the work being done on 4IR visit the following websites:

https://www.mict.org.za/

https://www.doc.gov.za/ms-stella-ndabeni-abrahams-induction-session-presidential-commission-4ir

 

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At the AfricaCom international congress, Orange (Orange.com) is partnering with itel (itel-mobile.com), the leading mobile brand in Africa and, once again, with KaiOS Technologies, maker of the leading operating system for smart feature phone KaiOS, to launch a new 4G version of the Sanza Phone, “Sanza XL”. From December 2019, this mobile phone with voice recognition functionalities will be on offer for around 28 US dollars in seven countries in Africa and the Middle-East: Botswana, Cameroon, Côte d’Ivoire, Egypt, Jordan, Mali and Senegal. Other Orange Group countries will follow in 2020.

 

The simplicity of a feature phone combined with the advanced functionality of a smartphone, at an affordable price

The Sanza XL has a bigger screen than the Sanza at 2.8’, an improved 2 Megapixel camera, 4 GB of internal memory for more storage and high-speed 4G access, while retaining excellent battery life of up to 7 days depending on usage.

The device enables access to over two hundred essential applications, including: WhatsApp to send voice messages in any language, Boomplay, YouTube, Facebook and the Google Assistant to control certain device functions with your voice.

Orange applications will also be available on the phone: My Orange, Orange Money and Livescreen to enable users to keep up-to-date on their favourite topics.

In Africa, price is often an obstacle to purchasing a mobile phone and, by extension, accessing the internet. This is why the Sanza XL will be on sale for around 28 USD and will be progressively launched in 7 countries, followed by the other Orange Group countries in 2020. By extending the Sanza range with the Sanza XL, Orange, a champion of digital inclusion in Africa and the Middle East, is reasserting its commitment to supporting its customers and offering internet access for all.

Orange is present in 19 countries in Africa and the Middle East and has around 125 million customers as of 30 September 2019. With revenues of 5.2 billion euros in 2018, this area is a strategic priority for the Group. Orange Money, its mobile-based money transfer and financial services offer is available in 17 countries and has 45 million customers. Orange, a multi-service operator and benchmark partner of the digital transformation, provides its expertise to support the development of new digital services in Africa and the Middle East.

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Over 120 free-to-air television stations, including public broadcasters from 15 African countries, are expected to take part in the next Johannesburg edition of the DISCOP film, television, and digital content market and co-production forum that kicks off from 20th November for three days of intense networking and deal building.

These public broadcasters will be acknowledged and celebrated for their role as the dominant force in the African market where 85% of audiences still actively watch free television.  While the launch of a range of new SVOD services across the continent may dominate discussions, behind streaming’s tech dazzle, the more mundane business of selling content to Africa’s ordinary linear networks is high on DISCOP Johannesburg 2019’s agenda.

 

Contrary to a certain belief, advertising-driven TV remains strong. According to recent reports, the market share of linear ad-supported television, currently 36.7 percent of the overall global market, would actually rise to 40.1 percent by 2025 and more than half of the industry’s global revenues will still be in free-TV six years from now.

 

“All the major streaming and pay-tv services will be attending,” noted Patrick Zuchowicki, General Manager and Founder of DISCOP, who adds, “But pre-market reports point to strong demand for programming from commercial and public broadcasters. The bulk of the business for the vast majority of content suppliers is still in traditional television.”

 

135+ global and regional content sellers and 150+ African independent content producers will take part in a reconfigured market that will go beyond content selling and buying and also cover the co-production of original content. A total of 250+ programmers, acquisition, commissioning, production and marketing executives from 35+ African countries are also expected to attend seeking both finished content, adaptation rights and projects in development.

 

DISCOP JOHANNESBURG 2019’s sidebar conference program will feature focused thematic sessions that will provide an opportunity for a more dynamic, hands-on learning experience. Topics to be covered will include content monetization strategies, the booming animation industry, bringing eSports to television screens, the importance of dubbing, the export of original African content, branded content, and how to tackle disinformation.

 

“There is no question that Pay-TV penetration, access to mobile television and VOD adoption is on the rise.” says Andrew BoozerDISCOP’s Conference Director, who adds, “This is why we have designed a conference program that will help ad-supported TV channels stay at the top of their game and build stronger ties with local talent, up-and-coming producers and advertisers who still  think that linear television is the most powerful ad-medium on the continent.”

 

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Samsung announces strong Q3 2019 Results

Posted by radio On November - 2 - 2019 ADD COMMENTS

Samsung Electronics today reported financial results for the third quarter ended September 30, 2019. The Company posted KRW 62 trillion (R 806 billion) in consolidated quarterly revenue and KRW 7.78 trillion (R101.2 billion) in quarterly operating profit.

Third quarter profit fell sharply from a year earlier but improved from the previous quarter, as stronger smartphone sales and improved utilization in mobile OLED screens were weighed down by continued weakness in the memory chip market.

 

Both the U.S. dollar and euro strengthened against the Korean won, resulting in about KRW 0.4 trillion (R5.2 billion) in positive effects toward quarterly operating profit, mainly in the component business.

 

Earnings from the Memory Business slumped significantly year-on-year as memory chip prices continued its downward trend amid the industry-wide weakness since the end of 2018. The logic chip business saw demand rise for image sensors and display driver ICs (DDIs), but also suffered from price declines in mobile application processors (APs).

 

The Display Panel Business saw a profit from mobile displays increase YoY with solid sales of OLED screens, improved capacity utilization and reduced costs. However, losses continued in the large panel business due to ongoing capacity expansions in the broader industry.

 

In the Mobile Business, strong sales of the Galaxy Note 10 and A series boosted profit, along with improved margins for mass-market models. The business also expanded its 5G product offerings and launched the Galaxy Fold, demonstrating Samsung’s technology leadership. Meanwhile, the Network Business reported higher earnings YoY on growing commercialization of 5G service in Korea.

 

The Consumer Electronics Division posted a YoY decline in profit from the TV business amid pricing pressure from intensifying competition, despite growing shipment of premium models such as QLED and ultra-large size TVs. Earnings from home appliances rose on increased sales of premium products.

 

Looking ahead to the fourth quarter, the Company expects demand for components to turn sluggish in general amid weak seasonal effects, while marketing expenses are likely to increase to address year-end smartphone sales.

 

Memory chip demand is seen rising slightly quarter-on-quarter on the back of inventory building by customers in response to global macroeconomic uncertainties. Mobile displays will likely report weaker results in the fourth quarter, as demand falls short of initial expectations for certain premium smartphones and costs increase due to lower utilization in some production lines. Large panel prices are also likely to continue declining.

 

The Company expects fourth-quarter earnings in the Mobile Business to decrease QoQ as marketing costs are set to rise and shipments to decline slightly, with flagship model sales weakening from their post-launch peaks. The Consumer Electronics Division will likely log stronger earnings helped by year-end seasonal demand.

 

For 2020, Samsung expects growing sales in 5G products and foldable devices; the logic chip business is forecast to report accelerated growth as it expands mass production of next-generation extreme ultraviolet lithography (EUV) based products.

 

However, uncertainties linger over the memory chip market as demand is seen recovering but risks from global industry circumstances persist. As Samsung plans to manage investment and capacity operation flexibly depending on market conditions, DRAM inventory is expected to normalize in the first half of 2020. The Company also remains committed to investments to meet demand in the mid-to-long term.

 

The System LSI Business will introduce differentiated 5G System-on-Chip products and high-resolution sensors, while the Foundry Business will seek to diversify its client base and expand production from the 5nm and 7nm EUV processes.

 

In Displays, Samsung plans to leverage its leadership in mobile screens, offering power-efficient and slimmer products to capture demand from 5G and other premium products. It will also transform its large panel business to focus on quantum-dot (QD) displays, with the existing LCD business addressing value-added products such as ultra-large and 8K TVs as well as high-end monitors.

 

The Mobile Business aims to improve profitability through enhanced leadership in premium products such as 5G and foldable devices as well as the improved mass-model line-up. The Network Business will further its efforts to expand its 5G business globally including the United States and Japan.

In the Consumer Electronics Division, the Company will continue to lead the premium TV market by expanding the adoption of QLED 8K and ultra-large models and offer stronger line-ups of innovative home appliances such as Bespoke products.

 

Semiconductor Demand to Remain Solid Amid Uncertainties

The Semiconductor Business posted consolidated revenue of KRW 17.59 trillion (R228 billion) and operating profit of KRW 3.05 trillion (R39 billion) for the quarter.

 

For NAND, demand showed stronger growth than expected driven by new smartphone launches and the continued trend toward higher density memory, as well as increased adoption of solid-state drives for PCs and expansion of high-density storage for server customers.

 

For DRAM, demand from all applications has greatly increased due to strong seasonal effects as well as inventory restocking at customers responding to global macroeconomic factors such as tariff issues and semiconductor-material export regulations. For servers, demand rose mainly for high-capacity products, while for PCs, replacement demand for corporate systems also increased ahead of the end of support for Windows 7. For mobile, demand was driven by a higher portion of smartphones with storage over 8GB.

 

Looking ahead to the fourth quarter for NAND, demand for high-capacity storage is expected to remain robust and prices are expected to rebound across all applications. For SSD, data centres are expected to adopt high-density, high-performance products, while for mobile, the trend of higher density storage is expected to continue with the launch of new high-end models. The Company will focus on strengthening competitiveness in the premium market and enhance technology leadership and profitability by transitioning to 6th-generation V-NAND within this year.

 

For the fourth quarter outlook for DRAM, although there may be some impact from recent inventory restocking at customers, overall demand is likely to remain solid and to show some increase QoQ. For servers, demand from data centres will continue to be solid supported by high-density products, while for PCs, overall demand will be similar to that of the third quarter. For mobile, continuing trend to high-density products with the launch of new 5G smartphones is expected to help demand remain solid. The Company will focus on enhancing technological leadership by expanding high-capacity product sales for servers and actively responding to early demand for mobile LPDDR5.

 

Looking ahead to 2020, while challenging to provide a detailed forecast due to ongoing uncertainties involving macroeconomic issues, there are positive signs on the demand outlook from data centre customers, while the expansion of 5G smartphones is expected to continue to lead the higher density trends. However, demand for 2020 should be viewed with caution as uncertainties remain in the macroeconomic environment. As such, the Company plans to focus more on flexible investment and capacity operation depending on market conditions.

 

For the System LSI Business, earnings improved as demand increased for high-resolution image sensors and mobile APs/PMICs/OLED DDIs for flagship smartphones. The Company strengthened its technology leadership by being the first to commercialize 108-mega pixel sensors.

 

In the fourth quarter, while demand for high-resolution image sensors such as 64Mp and 108Mp products will continue to increase, earnings are likely to remain flat from the previous quarter due to weaker demand for mobile APs and DDIs. For 2020, the Company will expand its line-up of differentiated products such as 5G System-on-Chips produced on EUV 5/7nm process and high-resolution products such as 108Mp and above sensors.

 

For the Foundry Business, earnings increased from the previous quarter driven by demand for mobile APs based on the EUV 7nm process and high-resolution image sensors. In particular, the Company completed the tape-out of the EUV 5nm process and secured new orders for 5nm-based consumer products.

 

In the fourth quarter, the Company expects to generate solid earnings on mass production of EUV 7nm products, while setting up 4nm design infrastructures for future growth. For 2020, demand for mobile APs/modes/RFs and high-resolution image sensors is expected to increase significantly on the back of the growing 5G market. The Company will accelerate the diversification of its customer base by expanding orders for 5G/AI/Auto/IoT/Power and fingerprint recognition applications and strive to complete the development of the GAA 3-nano process.

 

Display Business Improves on Demand for Flexible OLED

The Display Panel Business posted KRW 9.26 trillion in consolidated revenue and KRW 1.17 trillion (R15 billion) in operating profit for the third quarter. Overall display earnings improved QoQ thanks to strong sales of small to mid-sized OLED panels despite a weak performance in the large display business.

 

Mobile display earnings increased amid favourable seasonal effects, led by higher demand from major customers and improved OLED utilization rates. Large displays took a hit from a continued decline in LCD panel prices.

 

Looking ahead to the fourth quarter, mobile display profitability is expected to decline due to a product mix change and a cost increase from lower utilization of some production lines. Samsung will strive to enhance profitability by improving production efficiency and expanding the adoption of cutting-edge technology.

 

Large displays are also likely to see weak profitability for the fourth quarter as it continues to face falling demand and dropping price. Samsung will seek to secure profitability with product diversification including monitors and PIDs.

 

In 2020, for the mobile display business, demand for OLED screens is seen to grow steadily with wider adoption of 5G smartphones despite intensified competition. The Company will continue to focus on expanding sales and boosting utilization with a broader customer base and stronger cost competitiveness. Additionally, Samsung will aim to actively address the demand for foldable display panels and minimize seasonal impacts with wider applications.

 

For large displays, Samsung will look to realign its business structure to focus on QD-Display. It will continue to secure profitability by expanding sales of value-added products such as ultra-large panels, 8K TVs and premium monitors.

 

Galaxy Note 10 Props Up Mobile Business Earnings; 5G Momentum Driver in 2020

The IT & Mobile Communications Business posted KRW 29.25 trillion in consolidated revenue and KRW 2.92 trillion (R37.9 billion) in operating profit for the September quarter.

 

Mobile earnings in the third quarter improved significantly QoQ on robust shipments of the flagship Galaxy Note 10, a better product mix and higher profitability in the mass-market segment. The Galaxy Note 10 in the third quarter exceeded its predecessor’s sales performance, presenting double-digit growth in volume. Cost reduction brought on by the completion of the A-series line-up transition also contributed to improved profitability.

 

Notably, in the third quarter, the Company firmed up its global technology leadership with the expansion of 5G smartphones, in addition to the launch of the Galaxy Fold featuring a new form factor.

 

For the Network Business, the Company continued expanding 5G coverage in South Korea and shipments for LTE expansion outside the country.

 

In the fourth quarter, while mobile demand is expected to decline YoY on seasonal effects and persistent global economic uncertainties, the Company’s mass-market smartphones, including the new A-series, are projected to maintain solid sales. However, Samsung expects profit to decrease due to dissipating new model effects of the Galaxy Note10 and increasing marketing costs under strong seasonality.

 

Looking ahead to 2020, consumer demand for 5G devices is expected to rise as 5G networks expand globally, while competition is likely to remain fierce. The Company plans to offer more 5G devices and foldable products to enhance its competitiveness and build a foundation for further growth. For the Network business in the fourth quarter and the coming year, the Company will remain an active player in expanding South Korea’s 5G coverage and foster growth in other global markets like the United States and Japan.

 

Premium TVs, Innovations Such as Bespoke Key Focus for Consumer Electronics

The Consumer Electronics Division, comprised of the Visual Display and Digital Appliances businesses, recorded KRW 10.93 trillion (R142 billion) in consolidated revenue and KRW 0.55 trillion (R7.1 billion) in operating profit for the third quarter of 2019.

 

Profits for TVs were down slightly in annual terms in the third quarter due to heightened price competition, but strong sales of premium TVs such as QLED and ultra-large models helped the division maintain revenue growth compared to a year ago.

 

In the fourth quarter, the Company forecasts TV demand will soften YoY on downside risks including global economic sluggishness and unfavourable foreign exchange rates stemming from trade protectionist practices. To mitigate the fallout from these risks, the Company plans to expand sales of QLED TVs and broaden the line-up of super-large screen products, cementing its leading position in the premium market. For 2020, TV demand will likely bounce back on global sports events like the Olympic Games in Tokyo while the Company plans to seek new business growth from 8K TVs and MicroLED TVs.

 

Digital appliances saw increased earnings in the third quarter from a year ago on new product releases like the customizable Bespoke refrigerator. Demand in developed markets in North America and Europe was stagnant but this was offset by sales in emerging market countries including India.

 

For the December quarter, the Company plans to boost sales of products such as dryers and Air Dressers (garment refreshers) while simultaneously launching year-end, peak season promotion events. In the year ahead, demand will grow centred around emerging market countries, while the Company is expected to expand its premium line-up with other Bespoke products and strengthen its B2B business.

 

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