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Analysis-Samsung's reputation hit as prices slashed at home for new premium phone – Yahoo Canada Finance

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2 years ago

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By Byungwook Kim

SEOUL (Reuters) – Samsung Electronics’ flagship Galaxy S22 smartphone has taken a battering from reports of hobbled performance and has seen carriers half its price at home in South Korea just weeks since its launch, hurting its image as an iPhone rival.

Consumers have complained – and even filed a class-action lawsuit – about the handset maker advertising what it called its most powerful smartphone yet with scant detail about performance management software that they say drastically slows the premium device when using processor-intensive applications.

Such are the complaints that the Korea Fair Trade Commission last month began investigating the world’s biggest phone vendor.

The controversy represents a blow to Samsung’s reputation for high-end handsets – and potentially its finances – as it tries to make up for two years of premium sales that missed analyst estimates and reverse a decline in market share.

“The dispute will inevitably be a big hit to Samsung’s credibility,” said analyst Lee Seung-woo at Eugene Investment & Securities.

At the heart of complaints is Samsung’s Game Optimising Service (GOS) which manages device performance during gaming to prevent overheating and preserve battery life. The manufacturer introduced the software in 2016, just months before it pulled its premium Galaxy Note 7 following a series of battery fires.

GOS automatically limits handset performance during gaming but also during use of other processor-intensive applications, said Geekbench, a widely used performance scorer, which found the software slowed the S22’s processor by as much as 46%.

The extent to which GOS slows the S22, lack of details about the software in marketing materials, and the inability to disable it set social media alight.

“This is an unprecedented, crazy issue that can’t be excused in any way,” ITSub, a YouTuber with 2.1 million subscribers who specialises in gadgets, said in a YouTube post.

Samsung said it issued an update to allow users to disable the software with no risk to safety. It also said it would continue to invest to innovate in both hardware and software.

PRICE DROP

The S22 series hit sales of 1 million handsets in South Korea within six weeks of release, reaching the mark two weeks faster than its predecessor, Samsung said.

“The intentional performance downgrade surely had a negative effect, but its actual impact on Samsung’s sales seems limited. Data shows that sales are not much affected,” said analyst Kim Ji-san at Kiwoom Securities.

Still, South Korea’s three major telecom providers have nearly doubled subsidies for the S22, pushing its price as low as 549,000 won ($451) from a launch of 999,000 won. Apple Inc’s iPhone 13, released in October, starts at 1,090,000 won with carriers offering smaller subsidies of around 150,000 won.

“When subsidies go up simultaneously at all three telcos, it’s typically the manufacturer making up the contributions,” said an official at carrier LG Uplus Corp, declining to be identified due to the sensitivity of the matter.

Samsung’s 2021 market share in devices over $400 shrank 3 percentage points to 17% from a year prior, while Apple’s rose 5 percentage points to 60%, showed data from market researcher Counterpoint. The data also showed sales of both the S20 and S21 fell short of the S series’ first-year norm of 30 million units.

Early shipments of the S22, launched late February, indicate Samsung will move over 6 million handsets by March-end, broadly in line with expectations, said Counterpoint Associate Director Sujeong Lim.

Still, Lee at Eugene Investment & Securities, expects the GOS furore to combine with increased component costs to leave April-June operating profit at Samsung’s mobile arm at 3 trillion won, down from a previous forecast of 3.4 trillion won.

IBK Investment & Securities analyst Kim Un-ho also downgraded his forecast to 3 trillion won from 3.5 trillion won.

Samsung on Thursday said it expects to report an estimated 50% jump in overall January-March operating profit on April 28, as demand for its memory chips remained solid.

SPEED LIMIT

Teardowns of the lowest-priced S22 showed the handset lacked a cooling component called a vapour chamber, implying increased reliance on software to manage overheating, reviewers said.

Analysts said the lean toward software solutions stems from a renewed policy to cut costs – a strategy they said erodes a reputation as an innovator based on hardware strength.

Lee said Samsung “is putting too much emphasis on cutting costs, which led to this unfortunate case.”

Samsung Electronics Vice Chairman and Chief Executive Han Jong-hee at an annual shareholders meeting last month said he “will not compromise quality to cut expenses, and will continue to introduce products that put utmost priority on first-rate product experience and quality.”

At least 1,885 consumers are not convinced, having filed a class-action lawsuit arguing Samsung’s marketing inflates the S22’s performance.

“If Porsche has a speed limit of 100 kilometres (62 miles)per hour, would you still buy it?” said Kim Hoon-chan, the lawyer representing the consumers, adding that some 1,500 people have joined to file a second class-action suit.

($1 = 1,218.4000 won)

(Reporting by Byungwook Kim; Additional reporting by Joyce Lee; Editing by Miyoung Kim and Christopher Cushing)

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How to Preorder the PlayStation 5 Pro in Canada

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2 days ago

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September 10, 2024

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Sony has made it easy for Canadian consumers to preorder the PlayStation 5 Pro in Canada directly from PlayStation’s official website. Here’s how:

  • Visit the Official Website: Go to direct.playstation.com and navigate to the PS5 Pro section once preorders go live on September 26, 2024.
  • Create or Log in to Your PlayStation Account: If you don’t have a PlayStation account, you will need to create one. Existing users can simply log in to proceed.
  • Place Your Preorder: Once logged in, follow the instructions to preorder your PS5 Pro. Ensure you have a valid payment method ready and double-check your shipping information for accuracy.

Preorder Through Major Canadian Retailers

While preordering directly from PlayStation is a popular option, you can also secure your PS5 Pro through trusted Canadian retailers. These retailers are expected to offer preorders on or after September 26:

  • Best Buy Canada
  • Walmart Canada
  • EB Games (GameStop)
  • Amazon Canada
  • The Source

Steps to Preorder via Canadian Retailers:

  • Visit Retailer Websites: Search for “PlayStation 5 Pro” on the website of your preferred retailer starting on September 26.
  • Create or Log in to Your Account: If you’re shopping online, having an account with the retailer can speed up the preorder process.
  • Preorder in Store: For those who prefer in-person shopping, check with local stores regarding availability and preorder policies.

3. Sign Up for Notifications

Many retailers and websites offer the option to sign up for notifications when the preorder goes live. If you’re worried about missing out due to high demand, this can be a useful option.

  • Visit Retailer Sites: Look for a “Notify Me” or “Email Alerts” option and enter your email to stay informed.
  • Use PlayStation Alerts: Sign up for notifications directly through Sony to be one of the first to know when preorders are available.

4. Prepare for High Demand

Preordering the PS5 Pro is expected to be competitive, with high demand likely to result in quick sellouts, just as with the initial release of the original PS5. To maximize your chances of securing a preorder:

  • Act Quickly: Be prepared to place your order as soon as preorders open. Timing is key, as stock can run out within minutes.
  • Double-Check Payment Information: Ensure your credit card or payment method is ready to go. Any delays during the checkout process could result in losing your spot.
  • Stay Informed: Monitor PlayStation and retailer websites for updates on restocks or additional preorder windows.

Final Thoughts

The PlayStation 5 Pro is set to take gaming to the next level with its enhanced performance, graphics, and new features. Canadian gamers should be ready to act fast when preorders open on September 26, 2024, to secure their console ahead of the holiday season. Whether you choose to preorder through PlayStation’s official website or your preferred retailer, following the steps outlined above will help ensure a smooth and successful preorder experience.

For more details on the PS5 Pro and to preorder, visit direct.playstation.com or stay tuned to updates from major Canadian retailers.

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Introducing the PlayStation 5 Pro: The Next Evolution in Gaming

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2 days ago

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September 10, 2024

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Since the PlayStation 5 (PS5) launched four years ago, PlayStation has continuously evolved to meet the demands of its players. Today, we are excited to announce the next step in this journey: the PlayStation 5 Pro. Designed for the most dedicated players and game creators, the PS5 Pro brings groundbreaking advancements in gaming hardware, raising the bar for what’s possible.

Key Features of the PS5 Pro

The PS5 Pro comes equipped with several key performance enhancements, addressing the requests of gamers for smoother, higher-quality graphics at a consistent 60 frames per second (FPS). The console’s standout features include:

  • Upgraded GPU: The PS5 Pro’s GPU boasts 67% more Compute Units than the current PS5, combined with 28% faster memory. This allows for up to 45% faster rendering speeds, ensuring a smoother gaming experience.
  • Advanced Ray Tracing: Ray tracing capabilities have been significantly enhanced, with reflections and refractions of light being processed at double or triple the speed of the current PS5, creating more dynamic visuals.
  • AI-Driven Upscaling: Introducing PlayStation Spectral Super Resolution, an AI-based upscaling technology that adds extraordinary detail to images, resulting in sharper image clarity.
  • Backward Compatibility & Game Boost: More than 8,500 PS4 games playable on PS5 Pro will benefit from PS5 Pro Game Boost, stabilizing or enhancing performance. PS4 games will also see improved resolution on select titles.
  • VRR & 8K Support: The PS5 Pro supports Variable Refresh Rate (VRR) and 8K gaming for the ultimate visual experience, while also launching with the latest wireless technology, Wi-Fi 7, in supported regions.

Optimized Games & Patches

Game creators have quickly embraced the new technology that comes with the PS5 Pro. Many games will receive free updates to take full advantage of the console’s new features, labeled as PS5 Pro Enhanced. Some of the highly anticipated titles include:

  • Alan Wake 2
  • Assassin’s Creed: Shadows
  • Demon’s Souls
  • Dragon’s Dogma 2
  • Final Fantasy 7 Rebirth
  • Gran Turismo 7
  • Marvel’s Spider-Man 2
  • Ratchet & Clank: Rift Apart
  • Horizon Forbidden West

These updates will allow players to experience their favorite games at a higher fidelity, taking full advantage of the console’s improved graphics and performance.

 

 

Design & Compatibility

Maintaining consistency within the PS5 family, the PS5 Pro retains the same height and width as the original PS5 model. Players will also have the option to add an Ultra HD Blu-ray Disc Drive or swap console covers when available.

Additionally, the PS5 Pro is fully compatible with all existing PS5 accessories, including the PlayStation VR2, DualSense Edge, Pulse Elite, and Access controller. This ensures seamless integration into your current gaming setup.

Pricing & Availability

The PS5 Pro will be available starting November 7, 2024, at a manufacturer’s suggested retail price (MSRP) of:

  • $699.99 USD
  • $949.99 CAD
  • £699.99 GBP
  • €799.99 EUR
  • ¥119,980 JPY

Each PS5 Pro comes with a 2TB SSD, a DualSense wireless controller, and a copy of Astro’s Playroom pre-installed. Pre-orders begin on September 26, 2024, and the console will be available at participating retailers and directly from PlayStation via direct.playstation.com.

The launch of the PS5 Pro marks a new chapter in PlayStation’s commitment to delivering cutting-edge gaming experiences. Whether players choose the standard PS5 or the PS5 Pro, PlayStation aims to provide the best possible gaming experience for everyone.

Preorder your PS5 Pro and step into the next generation of gaming this holiday season.

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Google Unveils AI-Powered Pixel 9 Lineup Ahead of Apple’s iPhone 16 Release

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1 month ago

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August 13, 2024

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Google has launched its next generation of Pixel phones, setting the stage for a head-to-head competition with Apple as both tech giants aim to integrate more advanced artificial intelligence (AI) features into their flagship devices. The unveiling took place near Google’s Mountain View headquarters, marking an early debut for the Pixel 9 lineup, which is designed to showcase the latest advancements in AI technology.

The Pixel 9 series, although a minor player in global smartphone sales, is a crucial platform for Google to demonstrate the cutting-edge capabilities of its Android operating system. With AI at the core of its strategy, Google is positioning the Pixel 9 phones as vessels for the transformative potential of AI, a trend that is expected to revolutionize the way people interact with technology.

Rick Osterloh, Google’s senior vice president overseeing the Pixel phones, emphasized the company’s commitment to AI, stating, “We are obsessed with the idea that AI can make life easier and more productive for people.” This echoes the narrative Apple is likely to push when it unveils its iPhone 16, which is also expected to feature advanced AI capabilities.

The Pixel 9 lineup will be the first to fully integrate Google’s Gemini AI technology, designed to enhance user experience through more natural, conversational interactions. The Gemini assistant, which features 10 different human-like voices, can perform a wide array of tasks, particularly if users allow access to their emails and documents.

In an on-stage demonstration, the Gemini assistant showcased its ability to generate creative ideas and even analyze images, although it did experience some hiccups when asked to identify a concert poster for singer Sabrina Carpenter.

To support these AI-driven features, Google has equipped the Pixel 9 with a special chip that enables many AI processes to be handled directly on the device. This not only improves performance but also enhances user privacy and security by reducing the need to send data to remote servers.

Google’s aggressive push into AI with the Pixel 9 comes as Apple prepares to unveil its iPhone 16, which is expected to feature its own AI advancements. However, Google’s decision to offer a one-year free subscription to its advanced Gemini Assistant, valued at $240, may pressure Apple to reconsider any plans to charge for its AI services.

The standard Pixel 9 will be priced at $800, a $100 increase from last year, while the Pixel 9 Pro will range between $1,000 and $1,100, depending on the model. Google also announced the next iteration of its foldable Pixel phone, priced at $1,800.

In addition to the new Pixel phones, Google also revealed updates to its Pixel Watch and wireless earbuds, directly challenging Apple’s dominance in the wearable tech market. These products, like the Pixel 9, are designed to integrate seamlessly with Google’s AI-driven ecosystem.

Google’s event took place against the backdrop of a significant legal challenge, with a judge recently ruling that its search engine constitutes an illegal monopoly. This ruling could lead to further court proceedings that may force Google to make significant changes to its business practices, potentially impacting its Android software or other key components of its $2 trillion empire.

Despite these legal hurdles, Google is pressing forward with its vision of an AI-powered future, using its latest devices to showcase what it believes will be the next big leap in technology. As the battle for AI supremacy heats up, consumers can expect both Google and Apple to push the boundaries of what their devices can do, making the choice between them more compelling than ever.

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