Samsung Electronics Co. appears to be stopping production of the Galaxy Alpha — once considered a possible “iPhone killer” — to focus on the lower end of the smartphone market.
Korea’s ET News said Samsung will go with the Galaxy A5, a mid-to-low-priced device as its first release for 2015, representing a change of course for the technology giant.
The Galaxy Alpha was released in September and quickly attracted a lot of public attention as a result of its metal frame and 6.7-mm thickness. However, its popularity took a hit due to the hefty price tag and disappointing battery life.
Samsung’s new focus on lower-cost smartphones comes as the company faces more pressure from vendors such as Xiaomi Inc. in emerging markets.
“We see this about face on strategy as yet another sign that Samsung is not quite sure what to do about Apple in the high end,” said Rod Hall, a telecom and networking equipment analyst at J.P. Morgan. “We also note that losing the high end and opting to go after lower tier phone markets has never been a good strategy in the mobile industry — just ask Nokia.”
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