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Forums - Gaming - Microsoft Outsource Xbox 720 to Samsung !! ?

Only ten years ago, Samsung’s only goal was to catch up with Japanese rivals. But now it is outperforming major Japanese electronics makers in many categories: in terms of global market share, Samsung is No. 1 in flat-panel TVs and memory chips; 2011 Samsung Beats Apple as world's No.1 smartphone maker ; it is one of the top suppliers in other home appliances. Samsung aming to overtake Intel as No.1 chip company in 2014.

In 2005, Samsung surpassed Japanese rival Sony for the first time to become 20th world's largest and most popular consumer brand as measured by Interbrand. In 2006, Business Week rated Samsung as 20th on its list of global brands, 2nd in the electronics industry. Business Week also ranked Samsung as 20th in innovation. In 2007, Samsung Electronics' handset division overtook American rival Motorola, making it the world's second-largest mobile phone maker. In 2009, Samsung overtook Siemens of Germany and Hewlett-Packard of the USA with a revenue of $117.4 billion to take the No.1 spot as the world's largest technology company.

The semiconductor division of Samsung Electronics is the world's largest memory chip and second largest semiconductor manufacturer worldwide. This has been the case for DRAM and SRAM for over a decade.



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Icyedge said:
kopstudent89 said:
Are they trying to appeal to Japan?

If they were they would probably make a deal with a japanese company (like panasonic), not a korean one :P.


But Korean products appeal to the Japanese market, unlike American ones. I can imagine Samsung being a huge part of Japan's electronics section. It could be a reason imo 



Icyedge said:

"Let’s face it, it’ll probably be a hell of lot more reliable out of the gate!"

I dont get it, to my knowledge Samsung products arent more reliable then Microsoft products. Samsung is more of a full feature/low price company then a reliable company. Samsung appliances after sale service is desastrous. Back order of 3+ weeks is the norm for parts needed to service their appliances. Imagine 3 plus weeks with a broken refrigerator or washer or in our case, your favorite gaming system? In the end, we stopped selling their product because our reputation was suffering from their lack of service. Microsoft gaming division deserve better then this lol.


Samsung isn't a low price company that share of the market is taken up by Emerson and other lesser known brands.  Also Samsung is still a relatively new player when it comes to home appliances that's why its products are still buggy.  Quality of their home appliances should improve a lot over the next couple of years. 



kopstudent89 said:
Icyedge said:
kopstudent89 said:
Are they trying to appeal to Japan?

If they were they would probably make a deal with a japanese company (like panasonic), not a korean one :P.


But Korean products appeal to the Japanese market, unlike American ones. I can imagine Samsung being a huge part of Japan's electronics section. It could be a reason imo 


True but many American product does appeal to the Japanese market too. I dont think that the problem with the 360 in Japan is that its American. If they would associate with a Japanese company this would surely help their image, but with a Korean one I dont think it changes anything.



Chris Hu said:
Icyedge said:

"Let’s face it, it’ll probably be a hell of lot more reliable out of the gate!"

I dont get it, to my knowledge Samsung products arent more reliable then Microsoft products. Samsung is more of a full feature/low price company then a reliable company. Samsung appliances after sale service is desastrous. Back order of 3+ weeks is the norm for parts needed to service their appliances. Imagine 3 plus weeks with a broken refrigerator or washer or in our case, your favorite gaming system? In the end, we stopped selling their product because our reputation was suffering from their lack of service. Microsoft gaming division deserve better then this lol.


Samsung isn't a low price company that share of the market is taken up by Emerson and other lesser known brands.  Also Samsung is still a relatively new player when it comes to home appliances that's why its products are still buggy.  Quality of their home appliances should improve a lot over the next couple of years. 

Its not really the quality of their appliances that is the problem, the failure rate isnt higher then let say L.G. or Frigidaire. Its their after sale service. As example, all companies will ship a compressor or motor in 1-2 days, but Samsung takes 3 plus weeks lol. Its just ridiculous.  During that time you have a customer with unusable fridg or washer. Samsung isnt a low price company I agree, its a full feature/low price company. At 1300$ washer/dryer it has all features of a 1600$ L.G. or a 2000$ electrolux, but not the same service at all, or in Electrolux case, not the same quality, life expectancy and service.



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Icyedge said:
kopstudent89 said:
Icyedge said:
kopstudent89 said:
Are they trying to appeal to Japan?

If they were they would probably make a deal with a japanese company (like panasonic), not a korean one :P.


But Korean products appeal to the Japanese market, unlike American ones. I can imagine Samsung being a huge part of Japan's electronics section. It could be a reason imo 


True but many American product does appeal to the Japanese market too. I dont think that the problem with the 360 in Japan is that its American. If they would associate with a Japanese company this would surely help their image, but with a Korean one I dont think it changes anything.

That's true and false. I think the fact that it's physically American, doesn't matter one jot, but the fact, it is an American console in terms of flavour ... must be offputting for the Japanese.



 

Seece said:
Icyedge said:


True but many American product does appeal to the Japanese market too. I dont think that the problem with the 360 in Japan is that its American. If they would associate with a Japanese company this would surely help their image, but with a Korean one I dont think it changes anything.

That's true and false. I think the fact that it's physically American, doesn't matter one jot, but the fact, it is an American console in terms of flavour ... must be offputting for the Japanese.

Yeah I agree, but thats why I say that associating with Samsung for hardware making wouldnt do much.



Icyedge said:
Seece said:
Icyedge said:
 


True but many American product does appeal to the Japanese market too. I dont think that the problem with the 360 in Japan is that its American. If they would associate with a Japanese company this would surely help their image, but with a Korean one I dont think it changes anything.

That's true and false. I think the fact that it's physically American, doesn't matter one jot, but the fact, it is an American console in terms of flavour ... must be offputting for the Japanese.

Yeah I agree, but thats why I say that associating with Samsung for hardware making wouldnt do much.

I do think it would give them a fresh start over there, for if they really did start taking the market seriously and bought some Japanese devs.



 

In other news. Sony makes Windows PCs and Ford makes Windows sync cars. Where are the rumors of them making the nextbox?



SvennoJ said:
Xbox live is the cash cow for MS, next to peripherals. The console itself takes years before it starts making a profit.
Does this mean the 720 will be more expensive at the start, or will MS fork the extra difference? Or will we see a much smaller jump in hardware like Nintendo to make it profitable right from the get go?
It would be stupid for Samsung to sell it at base cost and assume all the responsibility.

Yeah if such a deal were to be struck I'd be interested in knowing these profit sharing details.  Would there be a flat fee per console that MS pays or a royalty percentage on the hardware profits - surely this would force MS to be profitable day 1 on the hardware.  I guess such a move could also help MS enter into new markets like Sony has with the PS3(?)