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Sunday, January 16, 2005
Japan in Shock on News of Samsung's US$10 Bln Profits

The Japanese press is aflutter with news that Samsung Electronics made W10.79 trillion in net profit last year, posing a major threat to Japan's electronics giants.

According to Japanese newspapers Samsung had overtaken Microsoft to become the biggest profit maker in the IT world.

The paper said Samsung?s profits were double those of Japan's top 10 electronics firms combined. Japan's top 10 electronics firms, including Matsushita, Hitachi, NEC, Toshiba, Sony, Fujitsu, Mitsubishi and Oki, made a combined net profit of Y537 billion (about W5.37 trillion) last year.

The Nihon Keizai, one of Japan's most prestigious financial papers, exceptionally named Samsung Electronics in an editorial entitled, Samsung's Y1 Trillion Profit Shock.

The paper said no Japanese corporation besides Toyota Motor was a match to Samsung as a manufacturer, adding Japanese corporations should learn from Samsung?s strong leadership and swift decision-making.

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