Expanding Mid-Range Lineup, Strategy to Increase AP Supply Volume

'AP Jeolchibusim' Samsung Electronics, Betting on Exynos1280 for Victory Move View original image


Samsung Electronics is making a bold move to expand its market share in the mobile application processor (AP) market by leading with the ‘Exynos 1280’. The strategy is to increase the overall AP supply by expanding the so-called ‘mid-range’ lineup, aiming to restore its bruised pride.


According to business circles on the 29th, Samsung Electronics’ System LSI division announced during its Q1 earnings conference call the previous day that it plans to significantly increase AP supply not only with premium APs but also by adding mid-range lineups such as the Exynos 1280. The strategy is to substantially boost its mobile AP market share by targeting the low- to mid-priced segments.


This move comes as the position of ‘Exynos’ has steadily narrowed over the past few years. Samsung Electronics’ mobile AP market share was 6.6% last year, ranking fourth. The gap with major competitors such as Qualcomm (37.7%), MediaTek (26.3%), and Apple (26%) has been widening annually. Considering that Samsung once held a dominant No. 1 position in the mobile AP market just a decade ago, this is a blow to its pride.


In particular, the premium line Exynos 2200 was only installed in some models of the Galaxy S22, which also had an impact. This decision was made due to yield issues, raising concerns in the industry about the weakening competitiveness of Samsung Electronics’ System LSI division.


'AP Jeolchibusim' Samsung Electronics, Betting on Exynos1280 for Victory Move View original image


The Exynos 1280, ambitiously launched by Samsung Electronics to reverse the trend, is an AP independently developed by the System LSI division and manufactured using Samsung Foundry’s 5-nanometer (nm) process. It supports 5G modems covering both low-frequency bands (below 6GHz) and ultra-high-frequency bands. Additionally, it features artificial intelligence (AI) computing power of up to 4.3 trillion operations per second and is equipped with an enhanced image signal processor (ISP) to assist in high-resolution photography.


Samsung Electronics recently created a dedicated page for the Exynos 1280 on a global semiconductor product site, revealing these detailed specifications. This is interpreted as an intention to increase global AP market share through the Exynos 1280. The Exynos 1280 was also installed in the Galaxy A53 and A33, released last month.


The Galaxy A series, known as mid- to low-priced smartphones, accounts for a significant portion of Samsung Electronics’ smartphone market share. According to market research firm Omnia, last year the Galaxy A series sales accounted for 58% of Samsung Electronics’ total smartphone sales. Moreover, the best-selling smartphone worldwide was the Galaxy A12, with approximately 51.8 million units sold.



The expansion of Exynos 1280 supply is expected to greatly aid Samsung’s market share in the smartphone AP market. It is evaluated to have merits in both performance and price compared to competitors’ mid- to low-priced lineups such as MediaTek’s. An industry insider said, "Positive reviews continue for the Exynos 1280 and 1080 models in the mid-range AP market," adding, "With an enhanced mid-range lineup, Samsung Electronics is expected to find an opportunity to turn the tide and increase its market share in the mobile AP market."


This content was produced with the assistance of AI translation services.

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

Today’s Briefing