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Samsung rumored to be dropping Qualcomm chip from next Galaxy S smartphone

By Kenny Yeo - on 21 Jan 2015, 2:59pm

Samsung rumored to be dropping Qualcomm chip from next Galaxy S smartphone

Samsung's smartphone business has been heavily hit by increasing competition lately. And in November, the company announced that its mobile division suffered a massive 71% decline in profits in Q3. In light of this, the company is swiftly taking steps to reverse the situation.

According to the latest rumors, Samsung will drop Qualcomm's latest Snapdragon processors in favor of its own Exynos processors in the next iteration of the Galaxy S smartphone. Allegedly, Qualcomm's latest processor, the Snapdragon 810, encountered overheating issues during testing, prompting Samsung to ditch it for its own processors. This would be a huge blow to Qualcomm as Samsung is one of its largest clients.

These rumors corroborate with the recently leaked specifications of Samsung's upcoming Galaxy S6 - which will reportedly be powered by the octa-core Exynos 7420. This also makes sense considering Samsung's desire to become more self-reliant as it fights a two-front war in the mobile space - one in the high-end market against Apple and another against the increasing influx of affordable Chinese-made smartphones. Samsung also recently invested over US$15 billion in a new factory outside Seoul to make processors.

Source: Bloomberg

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