[Chairman Lee Jae-yong Inauguration] Chairman Title After 10 Years... Accelerating 'New Samsung' (Comprehensive)

Board of Directors Approves Promotion of Chairman Lee Jae-yong

[Image source=Yonhap News]

[Asia Economy Reporter Park Sun-mi] Lee Jae-yong, Vice Chairman of Samsung Electronics, has been promoted to Chairman. Under his leadership, the 'New Samsung' initiative is expected to rapidly take shape. [Related Article] 'Lee Jae-yong Inaugurated as Chairman'

Samsung Electronics announced on the 27th that its board of directors held a meeting and resolved to promote Vice Chairman Lee Jae-yong to Chairman. The Samsung Electronics board judged that amid worsening global external conditions, ▲strengthening responsible management ▲enhancing management stability ▲and swift and bold decision-making are urgently needed, leading to this resolution. The proposal for Lee’s promotion was initiated by Kim Han-jo, the chairman of the board and an outside director, and was approved after discussions by the nine-member board consisting of four outside directors and five inside directors.

This is the first time in 10 years since Lee was promoted to Vice Chairman in 2012 that he has ascended to Chairman. Although Lee has effectively served as the head of Samsung Electronics since Chairman Lee Kun-hee suddenly collapsed in 2014, he was unable to assume the chairman position due to legal risks. Following a special pardon on Liberation Day in August, which restored his rights and lifted employment restrictions, the path was opened for his full return to management and promotion to Chairman.

The promotion to Chairman was decided amid a challenging global economic environment where domestic companies, including Samsung, are striving for growth. In particular, it is understood that the decision was influenced by the urgent need to set a new direction to overcome Samsung’s limitations in breaking free from the business frameworks?such as home appliances, mobile phones, and semiconductors?developed and grown by previous chairmen, by transforming into a ‘New Samsung.’

Accordingly, just as the late Chairman Lee Kun-hee transformed Samsung Korea into the global Samsung through his ‘New Management Declaration,’ Vice Chairman Lee is expected to actively begin concretizing plans to develop Samsung’s future with a new vision of ‘New Samsung.’

On the day, Chairman Lee carried out his scheduled activities without a separate event or inauguration speech. However, instead of a formal inauguration speech, he posted his reflections and determination on the company bulletin board as a substitute.

In a piece titled ‘Challenge for the Future,’ Chairman Lee stated, "I recently reviewed global markets and domestic and overseas business sites. The situation is urgent. The reality before us is severe, and the market is harsh. In difficult and challenging times, we must prepare ahead and develop our capabilities. Now is the time to act more boldly and challengingly."

He continued, "Since its founding, the most valued assets have been talent and technology. We must invest in technologies that do not yet exist in the world. Let us together build a truly top-tier company beyond today’s Samsung, a company loved by the nation and the world! I will stand at the forefront of this effort," expressing his determination.

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