Samsung Electronics Co. is currently increasing its investment in artificial intelligence for consumer electronics.
The mentioned company, based in South Korea, is betting on what can be called the ubiquitous presence of machine intelligence in gadgets, including smartphones and TVs. Samsung expects that the corresponding strategy will allow it to stake out a spot in the area of artificial intelligence.
The company hopes its bet to generate the desired result based on the brand’s unique market position as a lead manufacturer of mobile devices and household appliances such as washing machines and refrigerators. The corresponding statement was made by Samsung chief executive officer Han Jong-Hee during a conversation with media representatives at CES in Las Vegas.
Currently, the company wants to better connect half a billion devices that it sells every year. Samsung expects to make up for mistakes, the consequences of which for the brand turned out to be a loss of opportunity to lead among big technology competitors in areas such as top-end memory and generative artificial intelligence.
Last year, the value of the company’s shares fell by a third. The corresponding dynamic of Samsung securities, South Korea’s most valuable brand, is because it failed to close the gap with its domestic competitor SK Hynix Inc. In this case, it implies the rivalry of companies in the sales area of advanced memory for artificial intelligence accelerators. Prolonged delays in securing Nvidia Corp.’s approval for its high-bandwidth memory have caused a decrease in investor confidence in Samsung. It is worth noting that in general, 2024 was a strong year for the company, but the desired results in the advanced segments of the technology sector were still not achieved.
Samsung’s home connectivity hubs are built directly into appliances consumers are buying anyway. This is the difference from competitors, including Apple Inc., Amazon.com Inc., and Alphabet Inc.’s Google.
Samsung is currently installing artificial intelligence chips in its fridges, washing machines, and robot vacuum cleaners.
Han Jong-Hee stated that the company’s goal is to create products that people have not experienced before.
Samsung also announced a new artificial intelligence initiative for TVs that will compete with Google’s TV software and offer consumers real-time translation, content analysis, and audio and video enhancements powered by AI.
Artificial intelligence has the largest share in the structure of a spending company related to research and development outside of semiconductors. Han Jong-Hee plans to significantly increase corresponding financial injections in 2025 and beyond. He did not specify the company’s spending but stated that Samsung was buying graphics cards from Nvidia and Advanced Micro Devices (AMD) Inc. for the buildup of several major data centers in South Korea.
Han Jong-Hee also said that the company’s SmartThings platform, which provides connectivity between smartphones, TVs, and other home gear, currently has 370 million users, growing by about 20% annually over the past three years.
As we have reported earlier, Samsung Plans to Invest $1.8 Billion More in Vietnam.
