Samsung latest to foresee gloomy future for mobile phone market

The doom and gloom around the global economy continues to grow. After Nokia, it’s Samsung’s turn to warn that its forecasts for this year as well as next year will need to be adjusted downward. A company spokesperson warned that the company’s forecast for a 9 percent growth in 2008 may not be met. 2009 could follow with another single-digit growth or possibly even negative growth.

For Samsung to reach its 2008 9 percent growth target, it will need to record a 6 to 7 percent annual rise in fourth quarter shipments. The general consensus is that this will not be an achievable goal as consumers cut back on their spending in these uncertain times. In fact, many analysts predict that fourth quarter numbers will be down compared to last year.

Not only is customer demand waning but many wireless carriers are also cutting back phone subsidies, driving up prices and further impacting sales.

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