Samsung bets on European 5G orders to develop network equipment business

An executive of Samsung Electronics said that with the expansion of 5G network deployment, Samsung Electronics hopes to maintain its growth momentum in its network equipment business in Europe.

Samsung seeks to expand 5G business (Image source: reuters)

Although the South Korean technology company ranks first in the world in many fields, it ranks fifth in 5G network equipment. According to data from the market research company Dell'Oro Group, based on the data of the last four quarters, its market share in the first quarter of 2021 is 10-15%.

But Woojune Kim, executive vice president of Samsung’s network business, said that with Samsung’s $6.6 billion deal with US telecom company Verizon in September, and a subsequent deal with Japan’s NTT Docomo in March, its market share has continued to expand.

In addition, he also said that Samsung is currently conducting 5G trials with European telecom companies, such as the Czech Republic, Deutsche Telekom (DTEGn.DE), Poland's Play Communications and another major European telecom company. In addition to Europe, Samsung also seeks to expand markets in India, Australia and Southeast Asia.

Samsung’s current network equipment business is relatively small, with revenues of 236.8 trillion won (US$212.5 billion) in 2020. Samsung said that since the start of 5G network deployment in various countries in 2019, the number of new customers for its 5G equipment and systems has increased by an average of 35% per year. Samsung's goal is to become the top three in the 5G network equipment business.

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