Details of Samsung's major business adjustment in China are exposed: black and white TVs/color TVs/monitors will fade out of the market, while mobile phone and storage businesses will be retained.

Samsung China is undergoing in-depth business structure adjustments. This adjustment means that the strategic focus of this consumer electronics giant in the Chinese market will fundamentally shift. The home appliance territory that once covered all categories is shrinking rapidly.

According to news leaked from many parties, Samsung plans to gradually fade out of the black and white home appliances, color TV and display businesses in the Chinese market. In the future, its business in China will mainly focus on the two core sectors of mobile phones and storage. This restructuring plan has been rumored many times before and has recently been confirmed by more insiders.

Samsung insiders revealed that the online adjustment plan is basically true. According to the current plan, Samsung China may only maintain the complete establishment of its two major business units, mobile phones and storage, to ensure the continuation of core competitiveness. As for the rest of the home appliance sector, they are facing the fate of being integrated or even exiting directly.

A person familiar with the matter said that this major structural adjustment has been approved by Samsung headquarters level and is currently only at the stage of official announcement. In fact, Samsung's white goods have been gradually marginalized in the Chinese market, and this adjustment means that even the color TV business, which once had an advantage, will also retreat.

What is concerning is that the display business, which has a good reputation and sales volume in the Chinese market, has also been affected. Since within Samsung, monitors and color TVs both belong to the black electricity business department, and against the background of overall strategic contraction, the display business has also been implicated due to departmental ownership issues.

Sources close to Samsung pointed out that after the adjustment is completed, Samsung's large appliance and display businesses will no longer be the focus of operations in China. In the future, these products may be converted to an agency model, with only a small amount of maintenance sales through specific channels, and no large-scale direct sales investment will be made.

This strategy of surviving with a broken arm reflects Samsung’s attempt to achieve brand transformation in the Chinese market. Faced with the strong rise of domestic home appliance brands and fierce price wars, Samsung chose to withdraw from the red sea of ​​competition and focus its limited resources on the semiconductor storage and high-end smartphone fields with higher profits and deeper technical barriers.