Samsung denies reports it's quitting desktop PCs
June 24, 2013
Despite the well-documented struggles of the desktop PC market, the major players have kept plugging away. HP, Dell, Lenovo, Acer ... you can walk into an electronics store and buy desktop PCs from any of these companies today. But not everyone wants to stay in that club. According to a new report, Samsung, one of the biggest names in consumer electronics, may soon be turning in its badge and dropping out.
Update: Samsung told Engadget that the prospect of the company dropping its desktop PC business is "groundless." A few extra grains of salt would be in order here then, to say the least.
The report comes from Korea Times, which claims that shrinking demand has led to Samsung quitting the desktop PC business. A Samsung Electronics official told the publication that the company will be reallocating its resources into "popular connected and portable devices," where Samsung seems to be doing just fine.
The timing is curious, considering Samsung just unveiled a new all-in-one PC last week, the Ativ One 5 Style (interesting name there, Sammy). Samsung hasn't yet announced pricing or release date info for the upcoming computer, but unless this report is bogus, it may be the last of a dying breed.
Famine yes, extinction no
If Samsung is indeed ditching desktop PCs, maybe it isn't that surprising. The company has never been in the top five of PC sales, so this isn't quite the same as an HP, Lenovo, or Dell hanging up its cleats. Not to mention, those companies have most of their eggs in the PC basket. For Samsung, it's a rare area of unprofitability next to its wildly successful mobile device business.
In addition to sticking with its Galaxy smartphones and tablets, Samsung is going to continue to focus on laptops, convertibles, and other hybrid devices like the Ativ Q. So Samsung will still make PCs, just not the kind you used ten years ago.
It's easy to latch onto stories like this and sound the death knell for traditional PCs, but it's probably wise not to get too far ahead of ourselves. Desktop PCs are still all over the place, it's just that customers don't upgrade them as often with tablets and smartphones competing for our attention. Steadily declining sales is one thing, complete eradication is another.
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