Samsung To Outsource Some Production Of Galaxy A Series In China
Samsung is reportedly planning on selling Galaxy smartphones made by original design manufacturers (ODM) partners outside China, starting next year. The Korean electronics brand will supposedly outsourcing about a fifth of its smartphone production to China next year, in an effort to go head-to-head with several Chinese rivals in the low-cost smartphone market.
Specifically, sources with information about the situation say that Samsung had already begun moving out the production of its Galaxy A series smartphone to a Chinese third-party manufacturer named Wingtech. For those unaware, Wingtech is one of multiple ODMs that exists within China. Hired by major smartphone brands like Huawei to sometimes mass-produce entry-level smartphones.
Samsung’s decision to outsource the production of its Galaxy A series is essentially a gamble; it runs the risks of its product not being made up to its internal standards. Something it cannot afford, especially after its explosive Galaxy Note 7 debacle in 2016.
Having said that, the brand may not have a choice moving forward, especially after it officially shut down its Huizhou factory more than a couple of months ago. At the height of its operation, the factory housed more than 6000 employees and produced up to 63 million smartphones.
(Source: Reuters via SamMobile)
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