According to market analysts, Samsung is paying the price for over estimating competition in the smartphone market and failing to meet the excessive demand for its flagship device Samsung Galaxy S III in the US.
The smartphone, which has hit all the five major network carriers in the country, has found hitherto unheard demand for an Android handset. The company is failing to meet the demand with a crunch in their shipment.
The delay in shipment is mainly due to the overestimation of competition in the US market where Samsung expected HTC One X and Apple iPhone will raise considerable challenge to its device.
The shipping delays, according to an estimate, may cost the company 2 million units of sale in just one month.
According to Samsung, Galaxy S III is on its way to become the fastest selling smartphone from its stable. The phone is expected to sell more than 10 million within just two months.
Analysts opine that the South Korean phone maker will be back on track by next quarter. However, Barclays has lowered the expected sales figure for S III in the second quarter to 6.5 million units from 8 million units, but lifted the third quarter estimate to a whopping 15 million units.
Many observers now acknowledge that the device has grabbed the title of the real iPhone rival. Many point out that this is the reason why Samsung was able to bag orders from all the five carriers making SIII a must have smartphone.