Samsung CEO introduces ‘bold growth’ as new target

Samsung Electronics Vice Chairman and co-CEO Han Jong-hee has introduced “bold growth” as the new target to overcome the company's multifaceted crisis and take a leap toward a future-oriented business structure.

“We have worked hard to lay the foundation for 'One Samsung' and to enhance synergy across different business units,” the CEO said at the tech giant’s Device eXperience division’s internal event recently held in Suwon, Gyeonggi Province, ahead of its third anniversary.

“Our next target is ... to boldly transform for future growth,” he added.

In December 2021, when Han took office as head of the DX division, which oversees the business of mobile phones and home appliances, he introduced the motto “One Samsung.”

At that time, he said, "Let's work to create synergy for 'One Samsung.' To achieve this, we need to break down the barriers between existing business units and products, and think, feel and explore from the customer's perspective."

Approaching his third year in office, Han has now proposed "bold growth" as the goal.

As part of the new strategy, he unveiled four key areas -- medtech, robots, automotive electronics and eco-friendly heating, ventilation and air conditioning solutions -- stressing that the company will focus on fostering next-generation growth businesses.

Last year, Samsung established the future technology office within the DX division followed by the creation of the future business planning division and the business development group, all to discover “never-before-seen” technologies and businesses.

At the press conference for this year’s IFA in Berlin, earlier this month, Han said, “We are exploring future businesses and working to achieve tangible results.” He, at the same time, showed big interest in the next-generation healthcare sector.

At this year's IFA exhibition, Samsung also showcased Samsung Food Plus, an advanced health management service using artificial intelligence. It also plans to expand its family care service, which is based on SmartThings and tailored for senior customers, globally within this year.

Additionally, the tech giant aims to enhance the global competitiveness of its robotics business, which it has identified as a future growth driver, in various fields.

In May, Samsung reorganized the research and development personnel in the robotics business team under the DX division by transferring it to the Chief Technology Officer division, strengthening its efforts in the robotics business.

For the automotive electronics sector, the company plans to not only enhance synergies with its subsidiary Harman but also expand into next-generation display business areas. The eco-friendly HVAC solution business will strengthen its ties with existing business units.

Han also announced plans to transform Samsung into an AI company.

As part of this transition, Samsung will expand its investments in external AI companies and plans to grow not only its device business but also its service and business-to-business sector.

At this year’s CES in Las Vegas in January, Samsung declared “AI for Everyone” and has focused on solidifying the association between AI home appliances and Samsung, making 2024 the inaugural year for AI-powered appliances.

At the IFA press conference, Han said, "AI seems endless. We are preparing connected experiences aimed at resolving what consumers find inconvenient, dislike or find difficult," emphasizing that Samsung will thoroughly prepare for the future to maintain its leadership in the AI era.