Samsung is to put $160 billion into artificial intelligence, automotive electronics and biopharmaceuticals

Samsung is to put $160 billion into new technology over three years, with the aim of ensuring profitability in the face of stiff competition from rivals. The move came days after Samsung Electronics, the lucrative technology division of the South Korean conglomerate, reported its first drop in profits for seven quarters, raising concern over its long-term trajectory. Samsung’s response is to plough more than $22 billion into tech, including artificial intelligence, automotive electronics and biopharmaceuticals. Samsung Electronics will account for most of the spending. The remaining $138 billion will go towards semiconductor and display manufacturing facilities and external start-up projects, creating up to 40,000 jobs. By far the country’s largest conglomerate, Samsung is a bulwark of the economy… The investment plan eclipses a pledge made by Apple in January to divert $30 billion to expand its US operations. But, like South Korea, Samsung faces headwinds. Chinese tech groups such as Xiaomi and Huawei are eating into its position as the world’s largest smart-phone maker, while Beijing-backed groups are more closely targeting the memory chip business.

 

Bryan Harris

 

Food4Brains

SUBSCRIBE and RECEIVE your DAILY BRAIN FOOD!