October 14, 2008

HONG KONG - In a bold move to grow its personal-computer business, Samsung Electronics Co. (005930.SE) is making a foray into the U.S. notebook PC market, taking on established players such as Dell Inc. (DELL), Hewlett-Packard Co. (HPQ) and Apple Inc. (AAPL).The South Korean company, more well-known in overseas markets for its sleek flat-screen televisions and mobile handsets, Tuesday said it is launching five new computer models in the U.S., including a range of notebook PCs and so-called "netbooks" catering to the corporate segment. Netbooks are low-cost portable PCs that offer Internet capabilities. Samsung also plans to enter the U.S. consumer PC market by selling its computers through an arrangement with an undisclosed retailer starting in the spring of 2009.

Samsung executives say the move will allow the company to build a bigger presence and gain more share in the computer business - an area where the company has so far lagged competitors due to its focus on other high-profile businesses, such as memory chips, flat-screen TVs and mobile handsets. Samsung is the world's biggest producer of memory chips by revenue and is the world's second-largest mobile handset maker by shipments. While Samsung is a dominant player in the South Korean PC market, it only has presence in 12 overseas markets: the U.K., France, Germany, Italy, Spain, Poland, Netherlands, Russia, Ukraine, China, Hong Kong and Turkey.