Citing a source close to the company, a local Russian newspaper said that Samsung is planning to re-enter Russia – after it ditched sales in the country following its invasion of Ukraine.
Samsung has a share of 34% in the Russian smartphone market, which directly contributes 4% of the company’s revenue of the company. And with the global shipments falling behind the analysts’ estimates, it’s no wonder Samsung wanted to resume its operations in Russia.
Samsung Operations in Russia
Samsung is one of the many companies that left Russia over its invasion of Ukraine early this year. Though Samsung mentioned its exit reason to be geopolitical issues in Russia, many have openly stated their solidarity with Ukraine, thus pausing their Russian operations.
But after months, Samsung is said to be thinking of its reentry into the Russian market – as per a local Russian newspaper called Izvestia, which reported claiming a source close to Samsung. It noted that the South Korean giant might restart supplying equipment to retailers soon, with its online store going live in October this year.
Though Samsung didn’t confirm its decision yet, it’s expected to do anyway, considering its position. After all, the company has a 34% share in the Russian smartphone market, with its sales accounting for about 4% of its global revenue.
Though Samsung openly donated $6 million to Ukraine for humanitarian help, it still wants to get back to its business. Lacking Samsung and other major OEMs like Apple, the Russian smartphone market was taken over by Chinese OEMs like Xiaomi, Honor, and Realme, who now dominate the phone industry there.
Hoping to take its share back, we may soon see Samsung restarting its operations in Russia. Although, it remains to be seen how the company will do it – with various sanctions pouring from several countries – as the war is still ongoing.