Samsung's Shrinking Expectations

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Samsung TVSamsung lowers its Q1 2011 forecasts due to weak TV and flat panel sales according to the Financial Times.

The company's total Q1 estimate totals to 2900BN Won ($2.6BN), lower than Q1 2010's earnings of 4410BN Won.

Samsung believes its memory chip business should come to the rescue by Q2 2011, offsetting the sales decline. Chip prices are currently on the rise, following the supply chain disruption caused by the natural disasters hitting Japan in March. In fact, iSuppli predicts chip sales will rise by 7% this year, reaching $325.2BN.

Samsung currently accounts for 42% of the DRAM market, following its sharp increase in chip investment last year.

Go Samsung Lowers Forecast on Weak TV Sales (FT.com)

Go Samsung Discloses Q1 2011 Earnings Estimate

Cisco Remains WLAN Market Leader

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wifiThe WW WLAN market grows by 10% in 2010, reaching revenue totals of $4.4BN-- with growth of 9.1% and shipments increasing by 8.1% Q/Q in Q4 2010, according to In-Stat's WLAN market tracker.

Cisco remains the leading WLAN vander, with a 27% share of the market and increasing shipments by 8.1% in Q4 2010 when compared to Q3. Its total revenue for 2010 reaches $1.2BN (up by 31% from 2009).

Following in second place is Netgear, surpassing Technicolor with revenue for 2010 reaching $6.38m. The market also sees what In-Stat describes as "strong movement" from the likes of TP-Link and Aruba Networks-- 2 companies gaining market share and climbing up the analyst's ratings.

In-Stat's tracker covers equipment categories including SOHO routers, residential gateways, network adapters and standalone AP.

Go Q4 2010 Wifi Network Equipment Tracker

HTC Overtaking Nokia in Market Race

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The FT reports HTC is now the world's 3rd most valuable smartphone manufacturer-- taking over Nokia's position.

Nokia HTCThe 2 biggest smartphone makers in the world are Apple and Samsung, even if one has to keep in mind smartphones are not the 2 companies' sole business.

Nokia still remains the world's biggest mobile device producer (by volume), with 28.9% global market share.

HTC's rise to success reflects the market's acceptance of touchscreen-based smartphones, with their now being mass-market products in the Europe and the US. IDC expects the global smartphone market to grow by 50% this year, even if slowdown is expected.

Other analysts, including Morgan Stanley, have less cheering news for HTC-- the company could face "increasing headwinds" as competitors catch up with low- or mid-ranged smartphone models growing in popularity at the expense of premium models.

Go HTC Overtakes Nokia in Market Value (FT)

Optimistic Outlook for W.W. IT Spending

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Gartner is slightly more optimistic in its predictions for 2011's W.W. IT spending, saying it will increase by 5.6% over 2010-- reaching a total of $3.6TR (2010 spending totals $3.4TR).

The analyst's previous reports forecast 5.1% growth for the year.

Gartner Predictions

Why such an increase? The reason lies in the iPad and its ilk, with W.W. tablet spending set to reach highs of $29.4Bn in 2011 (up from 2010's $9.6Bn), with global tablet spending reports predicting growth at an annual rate of 52% through 2015.

Gartner also adjusts its predictions for 2011 W.w. computing growth-- from 7.5% to 9.5%.

The analyst says its predictions for a relatively stable outlook come despite the Middle East's politcial unrest (the territory accounts for 2% of W.W. IT spending after all). Less sure is the effect recent natural disasters left on Japan, which could go in 2 ways-- disrupting global electronics supply chains while impacting IT demand.

Go Gartner Says Media Tablets Help Drive W.W. IT Spending in 2011

Best Buy Fraudster's Supercar Gains

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In 2 weeks' time, the US Treasury will auction $3m worth of supercars, including a Ferrari Ezio-- as part of $31m scammed by one Russell Cole from Best Buy over a number of years. Truly a retailer's nightmare, if there ever was one. How did he do it?

AutosBack in 2003, Best Buy started online auctions to buy replacement parts-- with repair centres across the US issuing lists of needed parts for suppliers to submit blind bits for. Vendors with the lowest bids and parts could then "win" Best Buy's business. Overseeing the auctions was a third party, National Parts.

Through his company, Chip Factory (co-owned with his wife), and a Best Buy employee acting as insider, Cole submitted low, low bids to supply particular parts-- before wildly inflating the price for the same part. In one 2003 example, they bid $69 on a computer screen, before charging Best Buy $1699.

To make matters even worse, Chip Factory sent out faulty and destroyed items-- including parts smelling like "roach spray" or melted motherboards. Sometimes Chip Factory didn't even bother to put anything in the boxes they sent out to Best Buy.

The scam was eventually uncovered-- in 2009. By that time, Cole got himself a $2.65m home and his 11-strong auto stable, with models including a replica Cobra, a Bentley Continental GTC, a Porsche Cayenne and a Ferrari F430. Not that he'll get much enjoyment from them, what with his getting a 15 year charge for fraud and tax evasion charges.

Go Federal Jury Convicts Illinois Couple of Defrauding Best Buy

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