Samsung’s R&D spendings have increased despite losses

Samsung Galaxy S6

It’s no secret that Samsung hasn’t had the best one year or so. Its Galaxy S5 failed to impress the market and the arrival of the Apple iPhone 6 and the iPhone 6 Plus later in 2014 destroyed any chances of a comeback. This naturally meant that the company lost a lot of revenues and had to take necessary steps to adjust the losses. A report even suggested that the company asked employees to work on vacation days to increase workflow.

Despite all this, the company hasn’t cut down on its R&D spendings, a new report says. While it’s natural for a company to try and save money in every area possible, Samsung likes to think otherwise. In fact, the company has only increased its R&D expenditure compared to the last year, in preparation of the Galaxy S6 and the Galaxy S6 Active.

On an average, the company reportedly spends 1.2771 Trillion Korean Won or $1.15 billion every month, which is quite remarkable. As of yesterday (March 8), the company is reported to have spent 15.325507 Trillion Korean Won which is a touch below $14 billion. Will all of this spending turn the company’s fortunes? Only time will tell.

Source: Business Korea

Via: Sam Mobile