Samsung Electronics’ ambitious operating system Tizen is struggling in the smart device market, according to market observers.
According to the U.S. market research firm Strategy Analytics, market share of Samsung’s Tizen has dropped to 23.1 percent in the global smart watch market in the first quarter of this year, a sharp drop from 47.8 percent in the second quarter of last year.
Tizen’s decline came with Google unveiling its wearable operating system Android Wear last June. Market shares of Android Wear went up to 55.9 percent in the first quarter of this year, up from 50 percent in the fourth quarter of last year. Reasons behind Tizen’s decline are that more smart watches have been adopting Android Wear and Samsung Electronics did not unveil new smart watch since the roll-out of Galaxy Gear 3 last August.
Worse, as Samsung's arch rival Apple unveiled its new smart watch Apple Watch, Tizen’s position has further declined in the smart watch market. Since the roll-out in April, Apple Watch is expected to sell 8 million unit in the first half of this year.
Samsung Z1 which is first equipped with Tizen operating system sold 200,000 units, accounting for 0.06 percent in the global operating system market. It strategically was unveiled in India first but it also has less than one percent market share in the nation.
Samsung plans to deal a counterblow by unveiling its next model in the second half of this year. The company recently unveiled a teaser of the new smart watch on its website with the project name of “Orbis.” If Samsung cannot make success this time, the battle for operating system will again become between Google and Apple as they are in the smartphones market.
Analysts say Samsung Electronics is ramping up its efforts to develop Tizen phone and Tizen app to build its eco-sytem but it may further struggle as the partnership with Tizen allies appears to be struggling.
Currently, Tizen has a total of 10 partner members including Intel, Samsung, Huawei, Vodafone, Orange, NTT Docomo, Fujitsu, SK Telecom, KT and LG Uplus. Last year, Japanese firm NEC and Spain’s telecom operator Telefónica canceled their membership.
In appearance, Samsung is expanding Tizen platform into diverse smart devices including smart watch, smart TV and smartphones. However, the partnership with its allies is not outstanding. Intel, which was convinced to provide its chip set for Tizen’s mobile device, did not provide it for Samsung’s first Tizen smartphone Samsung Z1. Instead, Samsung used 28 Nano chip from Spreadtrum Communication.
Tizen’s carrier partners are also showing passive attitude toward the expansion of Tizen platform. Japanese telecom operator NTT Docomo reportedly refused to adopt Samsung Tizen Z1. Samsung thus had to unveil its phones via India’s second largest carrier Reliance Communications, according to market observers.
Tizen eco-system also appeared to be solely led by Samsung Electronics.
Analysts say that “Tizen looks different from Bada operating system as it forms an ally with diverse business partners. Looking carefully, Samsung Electronics is leading the platform solely because it is difficult for the hardware manufacturers to embrace other makers which are also competing with each other.”
Tizen appeared splendidly in the second quarter of last year, topping the smart watch market with 47.8 percent. However, things began to change as Google unveiled its Android Wear last June. Tizen’s share continued to drop from 40 percent in the third quarter of last year and 25.7 percent in the fourth quarter, while Android’s market share continued to increase from 50 percent in the fourth quarter and 55.9 percent in the first quarter of this year.
