Samsung is ending its laptop sales in Europe, the company has announced.
The move includes its Chromebook model, which had previously been one of the category’s best-sellers.
The South Korean company’s decision follows Sony’s announcement earlier this year that it was selling its Vaio division and pulling out of PC sales altogether.
However, other companies have recently reported growth in the sector.
Samsung signaled it might consider similar action in other parts of the globe.
“We quickly adapt to market needs and demands,” said the company in a statement.
Samsung is ending its laptop sales in Europe (photo Samsung)
“In Europe, we will be discontinuing sales of laptops including Chromebooks for now.
“This is specific to the region – and is not necessarily reflective of conditions in other markets.
“We will continue to thoroughly evaluate market conditions and will make further adjustments to maintain our competitiveness in emerging PC categories.”
According to analysts, portable PC sales will grow by 5.6% this year in mature markets, partly offsetting a decline in 2013.
However, Samsung does not feature in its list of the top five PC sellers, and it appears that rivals have accounted for what growth there is.
Lenovo recently reported a 17% rise in revenue from notebook sales in its April-to-June quarter compared to the same period the previous year. It claimed that made it the most popular laptop brand in 15 European, Middle Eastern and African nations.
Apple also posted a 13% year-on-year rise in Mac sales over the same three months, driven in large part by demand for the MacBook Air.
Samsung’s smartphones have also come under pressure in recent months.
Surveys indicate sales of Samsung’s phones have been overtaken in India and China by local companies Micromax and Xiaomi.
That resulted in the Samsung Electronics division posting a 20% year-on-year drop in its net profit in June and dozens of executives voluntarily handing back part of their bonuses.
However, in recent weeks Samsung’s soon-to-be-released Galaxy Note 4 large-screened smartphone and add-on virtual reality headset have both attracted warm reviews.
Google announces that Chromebook and Chromebox, its computers using Chrome operating system, have been updated with faster processors.
The Samsung-manufactured laptop and desktop PCs include processors based on Intel’s Sandy Bridge technology, addressing criticism that the launch models were underpowered.
Chrome-based computers run all their applications through the firm’s web browser and store their files online.
Google has not released sales numbers for the previous range, but analysts said demand had been very low.
Tech consultants IDC said that 50,000 Chromebooks had shipped in the US in the first three months of the year in a market that had absorbed about 10 million laptops over the same period.
An earlier study by Gartner suggested there would be fewer than 300,000 Chromebooks sold worldwide this year.
An upcoming software release will also enable the firm’s Google Drive cloud storage service to act as the computers’ file system, making it easier for users to manage their documents.
It will also allow users to edit Google Documents files when offline. The files will subsequently be synchronized when a network connection is restored tackling complaints that the machines were of limited use when not on the internet.
Google announces that Chromebook and Chromebox, its computers using Chrome operating system, have been updated with faster processors
The search giant’s decision to build in a limited 16 gigabyte hard drive has helped it keep costs relatively low.
The Chromebook laptop is marketed for $449 while the desktop Chromebox is $329.
The firm highlights the fact that the devices need “zero administration” because files are stored in the cloud, system updates are controlled by Google and the computers have virus protection built-in.
Linus Upson, Google’s vice president of engineering, said this had already encouraged more than 500 schools across 41 US states to “deploy” Chromebooks to their students. He said he hoped businesses would now follow.
“From a security standpoint just about every major corporation in the world is under continuous attack by various governments around the world as well as criminal enterprises,” he said.
“Probably the single most important thing companies can do to secure their network is to secure the PCs that their employees use because that’s normally the way in.
“Everything from a phishing email saying ‘hey install this thing’ to exploiting flaws in browsers or plug-ins. At Google we see deploying Chromebooks broadly as being one of the best ways we can protect our user data.”
He admitted that the computers were not suitable for people wanting to use traditional software packages such as Photoshop and Microsoft Office. But he suggested such programs were “legacy” products that would “decline over time” as users opted for the type of browser-based software available via the Chrome Webstore.
David Daoud, personal computing research director at IDC, is skeptical about the platform’s prospects.
“The issue with Chromebook is the fact that it is in a sort of grey zone,” he said.
“It has neither the power of a laptop in the productivity world, nor the appeal of an iPad or an Android tablet.
“It is confined to a web environment that may not be so appealing in emerging economies where the wireless infrastructure may be limited. In such environments, characterized by tight budgets, consumers do not see why they would spend some $400 on a system that does not fully deliver on a more comprehensive user experience.”
But Frank Gillett, principal analyst at Forrester Research, said he believed there was a niche for the machines: first-time users looking for a low-cost simple device.
“It’s cheap, good enough for most of the things you want to do when you’re starting out and it’s just less complicated to figure out than alternatives out there,” he said.
“This is the first interesting version of the product – the launch models were more proof of concept. The Google Drive capability clears the bar to making Chrome-based computers useful to enough of the population to keep it going.”
Google says the computers will go on sale in the US and UK, adding that devices would come to other European markets “soon”.