The Galaxy Alpha may only be a few months old, but Samsung could already be poised to axe the handset in order to focus on its Galaxy A series. According to industry insiders, Samsung will begin winding down production of its Galaxy Alpha line-up as it bows to price pressure in the Korean market.
The source states that Samsung will cease production of the Alpha in early February and will replace the handset with the Galaxy A5 in Korea sometime between January and February 2015. Previously, Samsung had been pursuing a premium strategy in Korea, but this looks set to change as the market is beginning to take note of mid-to-low cost smartphones. This is partly due to the Terminal Distribution Structure Improvement Act recently passed in the country, which aims to make pricing more transparent.
the Galaxy Alpha will be produced until the materials currently in inventory are used up. Its production will end by early February next year. – anonymous industry insider
Despite the new look and higher-end build materials used in the Galaxy Alpha, the handset has not proven very popular in Korea. LG Uplus and SK Telecom have greatly reduced their prices for the handset this month due to a lack of demand. To address this issue, the Galaxy A5 will be priced at about KRW 400,000.
The Galaxy A5 went on sale in China last month and features a 5-inch 720p AMOLED display, mid-range Snapdragon 420 processor, and a 13 megapixel camera, which is very close to the hardware offered by the Galaxy Alpha. There seems to be a bit of a clash between the Alpha and the A series, as both feature very similar hardware specifications, sizes and build materials. Ditching the Alpha would go some way to consolidating Samsung’s large smartphone portfolio.
According to a different insider. this time from within Samsung, the Galaxy Alpha remains in production, although the company is opening to adjusting production quantities depending on market reactions. Apparently, nothing has officially been decided regarding a January release of the Galaxy A5 in Korea, but either way we will find out whether all of this is true very soon.