News Samsung posts profit warning

http://www.bit-tech.net/news/2008/10/27/samsung-posts-profit-warning/1

The global economic downturn is hitting everyone hard, with Samsung posting a warning of 44 percent lower profits than expected prompting a 14 percent share drop.

 

Well isn't this what was expected when the third quarter profit reports would come out? Now I don't think samsung is going to be the company that goes out of business, I think there's other that would go first within that aspect of things, but things are going to be hard for all consumer electronic companies this holiday season. Look at amd though, they didn't quit when intel had them beat, or when nvidia had them beat for that matter, its just not in the best of conditions that businesses want to do business in. Tough luck.

 

Samsung probably just feels that if the market continues to shrink the way it is at the moment, then it'll have no need to buy sandisk and even if it later decides to buy it out, it'll get a much better price a few months down the line.