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Samsung returns to chip unit for earnings amid phone slump

The company has said it would cut the number of smartphone models by as much as a third this year

Published Thu, Jan 8, 2015 · 09:50 PM

Seoul

SAMSUNG Electronics is relying on a 40-year-old memory-chip unit for earnings growth as sales of its Galaxy smartphones are eclipsed by Apple Inc and Xiaomi Corp.

Buoyant demand for semiconductors, including from competitors in the phone business, and a falling won helped Samsung post fourth-quarter operating profit that beat analyst estimates, even though it slumped 37 per cent from a year earlier.