Samsung,a South Korean tech company has announced that its revenue from the fourth quarter of 2019 is less with 29 per cent compared to the same period in 2017.
This comes about a week after Apple also reduced their projections for the first quarter of 2019.
The company according to it press release said that they are forecasting Q1 revenue at $9.7bn .
This marks the firm’s first poor performance in the last two years.
Samsung is blaming this performance to the slump in the sale of the headsets in China and lackluster demand of chips.
“We expected the earning to remain subdued in the first quarter of 2019 due to slowing memory business,” the statement from the tech giant read.
The blow was also occasioned by challenges in its mobile unit in the debut of Galaxy9 in July last year recorded lower sales than anticipated.
This may be as a result of changing demographics of consumers from China becoming more patriotic as the local company Huawei had better sales volume.
Reports have also acknowledged the slow growth of the Chinese economy and fierce competition from Apple and Huawei as a caused for the declined performance.
This has led to mixed reactions among investors across the world as the outlook hi-tech companies survival in 2019 may not be very optimistic as firms drop value and growth projections.