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Outsourced smartphone development soars with Samsung's shift

Externally designed devices occupy one-third of market in boon for China contractors

Samsung stepped up outsourcing development of its smartphones in the second half of 2019. (Photo by Yusuke Hinata)

TOKYO/SEOUL -- Smartphone makers including Samsung Electronics have increasingly outsourced device development to maintain cost competitiveness, with these phones now making up more than a third of market.

Outsourced-developed smartphones accounted for 36% of global deliveries in the first half of the year, according to Hong Kong market research firm Counterpoint. The share is up 14 points from three years earlier.

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