November 13, 2012 The Age of Transition Korea Tech Strategy The outlook for IT from a “disruptive innovation” perspective Daewoo Securities Co., Ltd. James Song +822-768-3722 Mobile revolution: From revolution to evolution
[email protected] The mobile revolution has been a history of „disruptive innovation.‰ And at the heart of Wonjae Park this remarkable shake-up lie Apple, Samsung Electronics (SEC), Google, and Amazon. +822-768-3372 Notably, the global IT industry is currently facing several major shifts and issues,
[email protected] including: 1) AppleÊs „innovatorÊs dilemma‰; 2) a reshuffling of global supply chains; 3) Jonathan Hwang the return of Microsoft; and 4) the zero growth of the PC industry. How Korean IT +822-768-4140 players approach these issues will create significant implications for the memory,
[email protected] display, components, and electronic materialsÊ markets in 2013 onwards. Will Cho “Apple without SEC” vs. “SEC without Apple” +822-768-4306
[email protected] Apple is now one of the most valuable corporations in the world. However, SEC sells Young Ryu more smartphones than Apple does. Unsurprisingly, global investors are paying keen +822-768-4138 attention to the competition between Apple and SEC, their innovations, and their
[email protected] potential breakup. Our analysis suggests Apple is increasingly leaning toward „sustaining innovation‰ while SEC pursues a strategy of differentiation. At the same Brian Oh time, in reshuffling the global supply chain, we expect Apple could have difficulty +822-768-4135
[email protected] procuring parts supply without SECÊs contributions, while the Korean giant is likely to see very limited impacts from the absence of demand from Apple.