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`April 28, 1999 in Social Responsibility News
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`SAMSUNG Electronics Launches "yepp", the World's Smallest MP3 Player
`
`- The size of a calling card (58mm x 85mm x 17mm), "yepp" comes with FM radio, telephone directory and recorder function. -
`Samsung plans to take the initiative in the domestic market and focus on export markets. - Samsung aims to sell 500,000 units this
`year and capturing the top share of the world market.
`
`SEOUL, Korea - April 28, 1999 - Korean manufacturers are gaining a significant portion of the Internet audio (MP3 player) market.
`Amid fierce competition for the top market share, Samsung Electronics has introduced two different MP3 player models into the
`domestic market under the "yepp" brand name. Now, the company is preparing to create the "2nd Walkman legend."
`
`The MP3 player is a digital audio device that allows the user to download music files from the Internet or other on-line services.
`Currently, Korean manufacturers are leading this industry. The "yepp" models are no bigger than an ordinary business card (58mm x
`85mm x 17mm) and very light (64 grams excluding battery). They are designed to appeal to the youth market and come with a basic
`40 megabytes of memory, enough to store ten (average length) songs. If more memory is needed, the user can take advantage of the
`"yepp card" (Smart Card).
`
`Survey results of 500 young people, the main target for "yepp," were used in developing the product. Respecting the wishes of most
`survey respondents, Samsung Electronics included an FM radio, recording capability (160 minutes) and telephone directory (500
`names). The magnesium case provides a touch of elegance that has been well received by consumers.
`
`The center of "yepp" has a liquid crystal display that indicates the title of the song being played, the song length and the lyrics. The
`product takes two AAA batteries which will last for ten hours of continue play time.
`
`The sound quality of "yepp" is on a par with that of a compact disc player. The songs being played will not skip or be interrupted even
`when the "yepp" user is engaged in rigorous exercise.
`
`Samsung Electronics' "yepp" is available in two models: a basic unit (YP-E16) and a deluxe unit (YP-D40). Buyers can choose either
`gold or silver versions. The deluxe model is also equipped with an FM radio tuner and is capable of recording external sound such as
`lectures or performances. Bkoth of them provide back-band headphones. Users can also take advantage of a variety of services
`through a dedicated home page.
`
`Samsung Electronics has also built in its exclusive SecuMax program to prevent users from pirating unauthorized songs.
`
`The world market for internet audio players is estimated at 1.2 million units in 1999 and forecast to explode to 3 million units in 2000,
`7.8 million units in 2001 and 30 million units by 2005. At that time, demand will surpass that for conventional cassette tape recorders.
`Demand in Korea will also surge from some 80,000 units this year to 500,000 units next year, and on to 1 million units the following
`year.
`
`In 1999, Samsung Electronics expects to sell 500,000 units including OEM requirements.
`
`To expand sales, Samsung Electronics plans to introduce a "yepp" model for automobiles and a Recording Station that allows the
`user to instantly convert music from CDs or cassette tapes to MP3 files without needing a computer. These new products are
`scheduled for release in the second half of this year.
`
`Samsung Electronics Co., Ltd., with 1998 sales revenue of about 16.6 billion dollars (US), is a world leader in the electronics industry.
`The Korea-based firm has operations in more than 50 countries with 60,000 employees worldwide. The company consists of three
`main business units: Multimedia & Home Appliances, Semiconductors and Information & Telecommunications. For more information,
`please visit our website,
`
`All brands or product names are the property of their respective holders.
`
`www.samsung.com/us/news/317
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