Samsung is widely known as the biggest smartphone manufacturer. The Korean company has impressive sale figures for a couple of years now. Samsung reveals a new smartphone every other couple of weeks. As a result, the company manages a wide range of mobile devices, going from old-style mobile phones to Samsung Galaxy S5 and everything you could imagine in the middle. Right now, the company faces an unusual period, as Samsung SOC profit decreases.

Right now, Samsung faces some problems. Competition strengthens and in just a couple of days, Sasmsung received at least two bad news. On Monday we wrote about how Xiaomi, the successful Chinese smartphone company managed to become the top smartphone seller on the Chinese market. Samsung went second by selling a couple million devices less than Xiaomi.

Another bad news for Samsung is related to Apple. The two companies share a troubled history. They fight often in the court on patent breaching issues, but Samsung provides some crucial iPhone components to Apple. The American producer decided to drop the most important smartphone and tablet component delivered by Samsung, the processing unit.

Taiwan Semiconductor Manufacturing will be Apple’s new system-on-chip provider, the Wall Street Journal notes. The journal keeps its eyes on how Samsung is affected by this move.

“Sales and profitability from System LSI (logic chip business) worsened as demand from main customers continued to decline,” Robert Yi, Samsung’s head of investor relations said last week.

Samsung SOC profit decreases, Exynos fails to reach expectations

Samsung produces other processing units as well. Exynos is the chip used on some of its products, but the demand for Exynos powered devices is not high enough for Samsung to achieve the scheduled profit rate. The company will adapt to the new situation by taking actions in other areas of activity. First, Samsung will try to cut costs where possible. Second, it will attempt to increase the sales of other system chips like image sensors.

Samsung will probably overcome the less beneficial period in 2015 with the help of certain adaptive business measures. The profit coming from its semiconductor business slowed its growth. From an 82 percent increase, the company went to just a 6 percent increase in the second quarter.

Samsung SOC profit decreases and it might be a sign that the high-end mobile devices market reaches maturity, as tablet producers see a sharp decrease in sales as well, according to Best Buy CEO.