Samsung Electronics Completes System Overhaul... 'Maintaining Super-Gap and Crisis Response' Global Strategy Meeting

DS, Maintaining Semiconductor Super-Gap for Next Year's Semiconductor Supercycle
Introducing EUV Process in Advanced DRAM Manufacturing

IM, Checking New Form Factors Including Rollable Phones
Reviewing Galaxy S21 Series Launch

CE, Leading Micro LED TV Market
Expanding Market Share of Bespoke and New Home Appliances

[Asia Economy Reporter Ki-min Lee] Samsung Electronics will hold the '2020 Second Half Global Strategy Meeting' on the 15th to prepare for next year's semiconductor supercycle (long-term boom) and establish a global marketing strategy for premium set products. Samsung Electronics, which completed all successor appointments and organizational restructuring by the end of last week following the executive reshuffle earlier this month, plans to finalize next year's business division plans along with post-COVID strategies at this global strategy meeting. Until now, the global strategy meetings gathered all overseas heads of subsidiaries in one place, but this year it will be held online due to the impact of the novel coronavirus (COVID-19).

According to industry sources, Samsung Electronics will conduct the global strategy meetings for the IT & Mobile (IM) division starting on the 15th, the Consumer Electronics (CE) division on the 16th, and the Device Solutions (DS) division on the 17th, each for one day. The global strategy meeting is a management strategy meeting held twice a year in June and December, where the current market situation and future business plans are discussed.

Each meeting will be directly chaired by the three CEOs who retained their positions this year: Vice Chairman Kim Ki-nam, head of the DS division; President Ko Dong-jin, head of the IM division; and President Kim Hyun-suk, head of the CE division. Therefore, Vice Chairman Lee Jae-yong will not attend. Last year, Lee chaired an executive meeting with lunch the day after the meeting concluded.

The IM division, which kicked off the meetings, discussed key agenda items including market outlooks related to new form factors such as foldable phones like the Galaxy Z Fold and Z Flip to be released next year, as well as rollable phones, which have become a hot topic in the smartphone industry. They also reviewed the preparation status and launch strategy for the Galaxy S21 series' Unpacked event scheduled for January next year, and examined market penetration strategies changing due to U.S. sanctions against Chinese companies like Huawei.

The DS division, leading Samsung Electronics' core semiconductor business, is expected to mainly discuss production and supply strategies related to the recent semiconductor market supply shortage and next year's semiconductor supercycle. Industry experts anticipate a semiconductor supercycle lasting two years starting next year as server DRAM inventories are depleted. They are also expected to establish strategies for executing the 'Semiconductor Vision 2030' project, which aims to become the number one in system semiconductors (non-memory) with an investment of 133 trillion won, and to expand foundry (semiconductor contract manufacturing) competitiveness and market share. Therefore, the status of the foundry production line at the Pyeongtaek plant, which is being prepared to operate in the second half of next year, is also expected to be discussed. Notably, the Pyeongtaek plant will produce next-generation DRAM using extreme ultraviolet (EUV) processes starting next year.

At the CE division meeting, marketing strategies to lead the premium TV and home appliance markets and new product launch plans will be discussed. Earlier, Samsung Electronics unveiled a new premium home micro light-emitting diode (LED) TV product on the 10th. Samsung Electronics, which has dominated the global TV market for over 10 years, plans to secure the micro LED TV market, expected to grow to $280 million (approximately 247 billion won) by 2026. They will also review preparations for 'CES 2021,' the largest IT and home appliance exhibition in the U.S., held online from January 11 to 14 next year (local time). Additionally, plans to expand market share for new home appliances such as the Bespoke series, dryers, and Air Dressers, which are gaining attention due to consumer interest in convenience and home appliance interior design, are expected to be formulated.

This content was produced with the assistance of AI translation services.