Samsung Electronics may discontinue its premium Galaxy Note phone next year, reflecting the sharp drop in demand for high-end smartphones, Reuters reported.
The Galaxy Note, known for its large screen and a stylus for note-taking, is one of two Samsung premium phone series – the other being the more compact Galaxy S which draws in consumers with its state-of-the-art parts.
South Korean tech giant does not have plans to develop a new version of the Galaxy Note for 2021, the report said.
Instead, the Galaxy S series’ top model, the S21, will have a stylus and the next version of Samsung’s foldable phone will be compatible with a stylus, which will be sold separately.
The company development efforts that normally would have been directed to the Note would now be channelled into its foldable phone range.
Samsung declined to comment.
Tom Kang, an analyst at research firm Counterpoint, said sales of Samsung’s Note series are expected to fall by a fifth to 8 million this year while sales of the S series are likely to drop by 5 million to less than 30 million.
“Premium demand has decreased this year and many people are not looking for new products,” he said.
The Galaxy Note 20 was launched in the United States this year with a $999 price tag, on par with the Galaxy S20 while the iPhone 12 starts at $799.
Samsung first launched the Note in 2011, breaking new ground in the market for larger screen models and helping it overtake Apple Inc to become the world’s largest smartphone maker for the first time that year.
Samsung, according to a Gartner report, has shipped 80.816 million smartphone units during the third quarter of 2020. Samsung has 22 percent share market share in the worldwide smartphone business during Q3.
Samsung, according to an IDC report, reclaimed the top position in 3Q20 with a market share of 22.7 percent after shipping 80.4 million smartphones.
In the U.S., Samsung’s second largest market, momentum was strong for the A series with good performances from the Note 20 and Note 20 Ultra as well, which contributed to almost 20 percent of total volume in 3Q20.
