Sony surpasses Samsung after 24 years!

The competition between Sony and Samsung has taken on a new dimension with the 2023 profitability figures. For the first time since 1999, Sony has surpassed Samsung in terms of profitability. However, it remains unclear how Samsung will recover.

As we move past the first month of 2024, technology giants have begun to release their financial reports. Most companies have shared their financial statements for the final quarter of 2023. According to the data, an interesting statistic has emerged during this period of intense competition.

The technology sector has recently been going through a challenging period. Declining consumer demand and rising costs are leading to reduced profitability. One of the brands most affected by these difficulties is the South Korean technology giant Samsung. The company's profit margin fell by 34 percent year-on-year in the final quarter of 2023, largely due to the decrease in demand.

While Samsung was particularly affected by the drop in demand, its Japanese rival Sony delivered a remarkable performance. Sony has overtaken Samsung in profitability for the first time since 1999. While Samsung's annual profit was recorded at 5.62 billion dollars, Sony achieved a profit of 7.95 billion dollars in 2023. The difference between the two is over 2 billion dollars.

Samsung is painting an optimistic picture for 2024. However, it remains uncertain how long it will take to close the 2-billion-dollar gap with Sony. For a long time, Samsung has stood out more for its display panels and processor sector rather than its smartphones. Whether its strength in this area will allow Samsung to move ahead of Sony will become clear over time.

News Source: 12punto