By Senad Karaahmetovic
Samsung Electronics (OTC:SSNLF) (KS:005930) is reportedly slashing new procurement orders as it fights excess inventories and high inflation, Nikkei Asia reported today.
In what has been described by Vital Knowledge analysts as “one of the worst headlines of the day,” Nikkei Asia reported that Samsung asked several suppliers to delay or reduce shipments of components and parts "for several weeks."
The report added that a cut in orders includes chips, electronic parts, and final product packages. These components are used for some of the company’s flagship products, including TVs, home appliances, and smartphones.
The news comes after the South Korean company announced last month that it plans to spend $355 billion on semiconductors and biopharmaceuticals for the next 5 years.