SAN FRANCISCO/LONDON: Samsung Electronics Co. Ltd. on Wednesday unveiled a nearly $2,000 folding smartphone in a bid to top the technology of Apple Inc. and Chinese rivals and reignite consumer interest amid slumping sales.
The Galaxy Fold will go on sale on April 26 and take advantage of new and faster 5G mobile networks. The device looks similar to a conventional smartphone, but then opens like a book to reveal a display the size of a small tablet at 7.3 inches (18.5 cm).
The device “answers skeptics who said that everything that could be done has been done,” DJ Koh, chief executive of Samsung Electronics, said at an event in San Francisco. “We are here to prove them wrong.”
Samsung remains the world’s largest smartphone maker with nearly a fifth of global unit sales but underperformed a slumping market last year. Chinese rival Huawei Technologies Co. Ltd. — whose Mate series of phones also command premium prices — gained market share. Other Chinese makers like Xiaomi Corp. have also been increasing prices, leaving Samsung to defend its turf against upstart rivals in addition to its longtime foe Apple.
With the foldable phone, Samsung is going on the offense on two fronts in the smartphone race: It is offering an eye-catching new feature with the big, bending screen and the first 5G connection in a premium phone, a feature analysts do not expect Apple to match until 2020.
Samsung is also making improvements to its flagship Galaxy S devices and plans to offer a 4G version of its folding phone.
It also challenges the notion of what a phone can cost, debuting at nearly twice the price of current top-of-the-line models from Apple and Samsung itself.
Patrick Moorhead, founder of Moor Insights & Strategy, said the new folding device could help Samsung stay at the top and lure consumers to upgrade devices that have looked largely the same over the past five years.
“Samsung and Apple go back and forth” to lead the premium smartphone market, Moorhead said. “I think this is Samsung’s chance to take back the innovation crown.”
And even though the $1,980 starting price is steep, some dedicated Samsung fans said they would pay it. Navneet Kumar Singh, a Samsung enthusiast from India who traveled to San Francisco to watch the launch, is ready to place his order.
“The prices of the flagship models have been a little aggressive in India,” he said, “But in the end, if you invest the money you’re getting a different experience.”
Samsung also introduced several accessories to compete against Apple, including a pair of wireless headphones called Galaxy Buds. The headphones include wireless charging, a feature that Apple has promised to put into is competing AirPods but has not yet released.
Samsung also said that its new Galaxy phones will be able to wirelessly charge its headphones and new smartwatches by setting the accessories on the back of the phone.
10 times faster
Along with the folding phone, Samsung also added new cameras and a 5G version to its Galaxy series of phones.
Verizon Communications Inc. will be the first carrier to offer service for Samsung’s 5G phones. The networks are expected to be 10 times faster than current ones, improving viewing of live news and sports events.
With the 5G versions of its flagships, the Korean electronics maker looks to have beaten Chinese rivals in the 5G race, although the device will operate only on the small number of networks launching later this year. Apple is not expected to release a 5G smartphone until late 2020.
The new networks are not available in many places yet but will roll out this year and next. Consumers who want to hold on to their phones for several years before upgrading may be tempted to buy a 5G phone now so that it will be able to take advantage of those networks later, said Bob O’Donnell of TECHnalysis Research. That could sway some Apple buyers over to Samsung and other Android makers with 5G devices.
“People are going to be thinking about, am going to be able to use this a year from now? Two years from now? Three years?” he said.
Rival smartphone makers are expected to announce 5G models at next week’s Mobile World Congress, the industry’s top annual event, in Spain. Samsung said its 5G handset would be available in the early summer.
The Galaxy 10 series needs to appeal to consumers who are reluctant to upgrade for only incremental technological improvements in performance.
All of the Galaxy series of rigid phones except the 5G will be available from March 8, with the S10+ priced from $1,000, the S10 priced from $900 and the smaller S10e from $750.
The mainline S10 compares with $999 for Apple’s iPhone XS and $858 for Huawei’s premium Mate 20 Pro.
Samsung announces folding phone with 5G — at nearly $2,000
Samsung announces folding phone with 5G — at nearly $2,000
- The device looks similar to a conventional smartphone, but then opens like a book to reveal a display the size of a small tablet
- Samsung is also making improvements to its flagship Galaxy S devices and plans to offer a 4G version of its folding phone
Up to 50% of deep tech startups in Saudi Arabia focus on AI, IoT — report
RIYADH: Up to 50 percent of deep tech startups built in Saudi Arabia are working on artificial intelligence and the Internet of Things, a new report revealed.
Released by the Ministry of Communications and Information Technology, in partnership with King Abdullah University of Science and Technology and in collaboration with Hello Tomorrow consultancy firm, the document indicated that there are over 43 high-growth startups driving innovation in the Kingdom, collectively securing more than $987 million in funding.
This aligns with the National Strategy for Data and AI goals to position Saudi Arabia among the top 10 countries in the open data index and among the top 20 countries in peer-reviewed Data and AI publications by 2030.
It also meets with the strategy’s objective of securing SR30 billion ($7.9 billion) cumulative foreign direct investment and SR45 billion local investment in data and AI in the Kingdom by 2030.
“The deep tech startups that have originated in Saudi Arabia are currently in their early stages of development, but the ecosystem is already attracting mature international companies,” the report said.
On the $987 million secured funding in 2022, the report said this was primarily fueled by a rapidly expanding funding ecosystem, which was ranked in the Middle East and North Africa’s top three for funding and deals.
The report further disclosed that 104 active startup investors registered in the Kingdom in 2023, a 41 percent increase from 2018.
“This expansion is highly dependent on public funds, as the government is committed to nurturing tech startups and scaleups,” the reports said.
It added that the number of researchers in Saudi Arabia has risen by 75 percent since 2015, thereby cementing the nation’s commitment to advancing research and development.
“The country is expanding its research infrastructure to accommodate 140,000 researchers by 2030, marking a sevenfold increase from the current 20,000 researchers in the country,” the report said.
The report tackles the current state and future opportunities of the deep tech ecosystem in the Kingdom as well as key initiatives supporting the goals and objectives of Saudi Vision 2030.
It also seeks to shed light on the prospects and potential in this vital sector which is recognized as a cornerstone for advancing the digital economy and sustainable development as a whole.
GCC, Canada discuss strengthening ties across key sectors
RIYADH: The Gulf Cooperation Council and Canada have reaffirmed their commitment to strengthening international development and investment ties following high-level talks between officials.
On Jan. 6, GCC Secretary General Jasem Al-Budaiwi met with Canadian Minister of International Development Ahmed Hussen to discuss improving bilateral cooperation.
According to a statement from the GCC Secretariat, the talks explored opportunities to deepen alliances between the economic bloc and the North American country, including education and renewable energy.
Within the GCC, countries including Saudi Arabia are actively deepening their relations with Canada, as demonstrated by the restoration of diplomatic ties in May 2023 after a five-year hiatus.
The statement from the GCC Secretariat added that the Jan. 6 discussions also addressed pressing regional and international issues, highlighting the significance of dialogue and strategic partnerships in fostering security and global stability.
“At the conclusion of the meeting, both sides reaffirmed the significance of joint cooperation to enhance sustainable development efforts at both regional and global levels, contributing to greater stability in the region and beyond,” the statement said.
At the end of December, Saudi Arabia’s Minister of Economy and Planning Faisal Al-Ibrahim held talks with Canadian Ambassador Jean-Philippe Linteau at his department’s headquarters in Riyadh, according to the Saudi Press Agency.
Economic cooperation was the focus the meeting as relations between the nations continue to progress.
Bahrain’s non-oil sector fuels 2.1% economic growth
RIYADH: Bahrain’s economy expanded by 2.1 percent year on year in the third quarter of 2024, driven by strong performance in its non-oil sectors, official data showed.
According to data from the Ministry of Finance and National Economy, non-oil sectors grew 3.9 percent during the period, accounting for 86.4 percent of real gross domestic product.
Key contributors included the information and communication sector, which surged 11.9 percent year on year, supported by increased mobile and broadband subscriptions.
Bahrain’s third-quarter growth mirrors positive trends across the Gulf Cooperation Council, with Saudi Arabia’s GDP rising 2.8 percent and Qatar’s advancing 2 percent, driven by ongoing economic diversification.
Despite these gains, Bahrain’s economy faced challenges in the oil sector, where activities contracted by 8.1 percent year on year, contributing to a 0.9 percent decline in nominal GDP.
However, non-oil sectors fared well, with the country’s financial and insurance activities performing strongly, growing by 5.8 percent, while electronic funds transfers increased by 13.7 percent year-on-year.
Manufacturing expanded by 4.2 percent, aided by higher production at the Bapco Refinery, while wholesale and retail trade grew by 2.1 percent, bolstered by a significant rise in e-commerce transactions.
In contrast, the oil sector faced headwinds due to maintenance activities at the Abu Sa’afa field and declining global oil prices. This resulted in a year-on-year contraction of oil activities by 8.1 percent in real terms, while average daily oil production from the Abu Sa’afa field fell by 11.5 percent year on year.
Trade and investment activities also presented mixed results. The current account surplus narrowed by 54.5 percent year on year to 148.6 million Bahraini dinars ($394.2 million), largely due to a 19.2 percent decline in the value of oil exports.
Non-oil exports, however, saw modest growth of 1.1 percent, with base metals and mineral products leading the category. Foreign direct investment stock increased by 3.5 percent year on year, reaching 16.5 billion dinars. The financial and insurance sector remained the dominant contributor, accounting for 67.3 percent of the total foreign direct investments.
Development projects in various sectors continued to advance during the quarter. The Bapco Modernization Program, completed in December, increased refinery capacity by 42 percent, representing the largest capital investment in Bapco’s history.
In the tourism sector, four new five-star hotels and the “Hawar Resort by Mantis” were inaugurated, enhancing Bahrain’s hospitality offerings.
The healthcare sector saw the construction of a new rehabilitation center in Al Jasra, while the Aluminum Downstream Industries Zone was launched as part of Bahrain’s Industrial Strategy.
Monetary and financial indicators reflected positive trends. The broad money supply expanded by 6.1 percent year on year, supported by a 15.6 percent increase in government deposits.
Total loans provided by retail banks grew by 4.9 percent year on year, with personal loans comprising nearly half of the total. The labor market recorded a 1.7 percent increase in the number of Bahrainis employed in the public and private sectors, reaching 153,842.
Recruitment under the Economic Recovery Plan met 98 percent of its annual target for 2024, while over 13,679 Bahrainis received training.
Bahrain’s capital markets also performed well, with the Bahrain All Share Index closing the third quarter at 2,012.77 points, a year-on-year increase of 3.8 percent. The Bahrain Islamic Index recorded even stronger growth, rising by 10.1 percent. Market capitalization increased by 2.4 percent, reaching 7.8 billion dinars.
In global competitiveness rankings, Bahrain retained its position as the freest economy in the Arab world, ranking 34th globally in the Economic Freedom of the World report.
The nation also climbed eight places to rank 30th in the IMD World Digital Competitiveness Ranking, reflecting significant progress in adopting and leveraging digital technologies.
Riyad Bank issues SR-denominated Tier 1 sukuk
RIYADH: Riyad Bank has commenced the issuance of its additional Tier 1 sukuk under its SR10 billion ($2.66 billion) Additional Tier 1 Capital Sukuk Program via a private placement in the Kingdom.
In a statement to Tadawul, the lender, one of the largest financial institutions in Saudi Arabia, said that the terms of the offer and the value of the sukuk would be determined based on market conditions.
The financial institution added that the offering, which commenced on Jan. 7, will run through Jan. 16, with a minimum subscription limit of SR250,000.
Sukuk, also known as an Islamic bond, is a Shariah-compliant debt product through which investors gain partial ownership of an issuer’s assets until maturity.
According to the statement, the bank has mandated Riyad Capital as the sole lead manager in relation to the offer and issuance of the sukuk.
The financial institution added that it will announce any other relevant material developments in due course.
The steady issuance of sukuk happening in the Kingdom falls in line with the views shared by Fitch Ratings in a report in October, which said that the distribution of these Islamic bonds is expected to grow in 2025, driven by US Federal Reserve rate cuts.
According to Fitch, interest rates are expected to be at 3.5 percent in 2025, resulting in a boost in sukuk issuances in the short term.
In December, Fitch Ratings affirmed Riyad Bank’s long-term issuer default rating at A- with a stable outlook.
The US-based agency said that the A- rating of the financial institution is attributed to the support it receives from Saudi Arabia’s government.
The report added that Saudi authorities’ strong ability and willingness to support domestic banks irrespective of size, franchise, funding structure, and level of government ownership also played a crucial role in the strong rating of Riyad Bank.
According to Fitch, an A- rating denotes expectations of low default risk and a strong ability to pay financial commitments.
In October, Riyad Bank announced that its net profit for the first nine months of 2024 reached SR7.06 billion, representing a rise of 16 percent compared to the same period of the previous year.
In December, an analysis by Kamco Invest projected that Saudi Arabia is expected to witness the greatest share of bond and sukuk maturities in the Gulf Cooperation Council region from 2025 to 2029 to reach $168 billion.
Oil Updates — prices dip as demand optimism fades
BEIJING/SINGAPORE: Oil prices eased on Tuesday, extending losses into a second consecutive session after last week’s rally, although concerns about tighter Russian and Iranian supply amid widening Western sanctions checked losses, according to Reuters.
Brent futures edged down 8 cents, or 0.1 percent, to $76.22 a barrel by 07:52 a.m. Saudi time, while US West Texas Intermediate crude fell 15 cents, or 0.19 percent, to $73.42.
Both benchmarks slid on Monday, after rising for five days in a row last week to settle at their highest levels since October on Friday amid expectations of more fiscal stimulus to revitalize China’s faltering economy.
“This week’s weakness is likely due to a technical correction, as traders react to softer economic data globally that undermines the optimism seen earlier,” said Priyanka Sachdeva, senior market analyst at Phillip Nova, referring to bearish economic news from the US and Germany.
Also dragging on oil prices is the rising supply from non-OPEC countries that, coupled with weak demand from China, is expected to keep the oil market well supplied this year.
Market participants are waiting for more data this week, such as the US December nonfarm payrolls report on Friday, for clues on US interest rate policy and oil demand outlook.
“The move higher in crude oil prices appears to be running out of momentum,” ING analysts wrote in a note.
“While there has been some tightening in the physical market, fundamentals through 2025 are still set to be comfortable, which should cap the upside.”
Worries over tightening Russian and Iranian supply amid sanctions, however, kept a floor under oil prices.
The uncertainty has translated into better demand for Middle Eastern oil, reflected in a hike in Saudi Arabia’s February oil prices to Asia, the first such increase in three months.
Money managers raised their net long US crude futures and options positions in the week to Dec. 31, the US Commodity Futures Trading Commission said on Monday.
