Samsung Electronics To Use Inhouse Exynos AP In Galaxy S23 FE
Samsung Electronics installs Samsung Electronics' Exynos Application Processor (AP) in its Galaxy series smartphones. The plan is to increase Samsung Electronics' share of the smartphone market and reduce production costs for Galaxy products.
According to industry sources, Samsung Electronics plans to use the flagship Exynos 2200 in the Galaxy S23 Fan Edition (FE) model on April 3, which will go on sale in the second half of this year.
A mobile hotspot is the central component that serves as the brain of smartphones and tablet computers. Samsung Electronics equipped the Galaxy S series with Exynos and Qualcomm powered entry points Snapdragon. But while last year's Samsung Electronics flagship smartphone Exynos 2200 suffered from performance and thermal issues in the Galaxy S22, the Korean smartphone giant's Galaxy S23 released this year has been boosted by the arrival of Qualcomm.
In addition, the use of access points from competitors such as Taiwan's MediaTek has increased even in entry-level models, and Samsung Electronics' share of the global access point market has declined. Although Samsung Electronics increased its AP market share to 14 percent in 2019, it fell to fifth place with a 7 percent share in the third quarter of last year. Taiwan's MediaTek rose with a 35 percent share, while Samsung Electronics weakened. Qualcomm is second with 31 percent, Apple is third, and China's UniSoc is fourth.
The failure of the Exynos entry point market is not just a problem for Samsung Electronics' LSI division. The issue has put financial pressure on the Samsung Electronics MX business unit, which is responsible for the smartphone business. According to a recent report from Samsung Electronics, the company's mobile hotspot purchases will grow nearly 49.9% annually to reach $9.3138 billion ($7.1070 billion) in 2022. Mobile hotspot accounted for the largest 12.8% of total segment purchases and the best volumes for camera unit and display panel purchases. Industry insiders analyze that the increase in the purchase price of Samsung Electronics' mobile hotspot is due to the company's rapid increase in the use of Qualcomm's Snapdragon hotspot.
However, Samsung Electronics has recently started improving the situation by adding a design change to its Exynos 2200 product. It has also started making major moves to expand its presence in the AP market. First, the Exynos 2200-powered Galaxy S23 FE is expected to launch in the last quarter of this year. Industry observers expect the Galaxy S23 FE to be priced around 800,000 won. The Galaxy S23 FE is the budget model, while the recently launched Galaxy S23 is the flagship luxury model. Analysts claim that the Galaxy S23 FE has better performance than the Galaxy S23 due to its lower price tag. Market experts predict that the Galaxy S23 FE could sell more than 10 million units if it is well received by consumers.
Additionally, Samsung Electronics is ramping up production of the Exynos 2400 to power the Galaxy S24 in 2024. Industry experts expect Exynos 2400 to begin production in early November.
As Samsung Electronics increases sales of the Galaxy A series, it expands its Exynos line not only in flagship models, but also in the budget smartphone market. Galaxy S series, Samsung Electronics defines a year's worth of smartphone performance. The recently announced Exynos 1380 found its way into the Galaxy A series flagship, the Galaxy A54. Although the Exynos 1380 is not an expensive model, it is said to have excellent hotspot performance. The lower model Exynos 1330 should be installed in the A14 series. The A14 series is expected to gain popularity in emerging markets like India.
Samsung Electronics is expanding the Exynos brand into the AP market in addition to the telecom chip market. Samsung Electronics recently introduced the Exynos Connect U100 broadband short-range wireless communication semiconductor (UWB), the first product under the Exynos Connect brand. UWB is a short-range wireless communication technology that transmits large amounts of data rapidly over a wide frequency range with low power. It is used in various fields, such as smart homes and smart factories, because the distance between devices and devices can be accurately measured in the range of several centimeters. Market research firm Techno System Research (TSR) predicts that UWB technology will grow from 300 million in 2030 to 1.8 billion in 2022. In 2030, UWB technology is expected to be used in 58% of all smartphones. and 33% of all vehicles. Exynos Connect U100 uses optimized power modes for different operations. This can be useful for mobile devices or Internet of Things (IoT) devices such as location beacons that need to run for long periods of time on low-capacity batteries.
