From "Audio Powerhouse" to "Autonomous Driving Pioneer": The Decade-Long Saga of Samsung's Acquisition of Harman
by Kim Jinyeong
Published 22 Apr.2026 13:00(KST)
Updated 22 Apr.2026 17:18(KST)
Chairman Jay Y. Lee’s Bold Decision: Acquiring Harman in 2016
Overcoming Concerns, Achieving Record Results Last Year
Revenue Reaches 15.8 Trillion Won, Operating Profit Hits 1.5 Trillion Won
The year 2026 marks the 10th anniversary of Samsung Electronics’ landmark announcement of its acquisition of Harman, as well as the 80th anniversary of JBL, Harman’s flagship brand. Despite initial concerns about a potential “winner’s curse,” the partnership between Samsung and Harman has experienced remarkable growth over the past decade and is now regarded as a milestone in the history of domestic and international corporate mergers and acquisitions (M&A). This article examines Harman’s past 10 years as a core growth engine for Samsung and looks ahead to its future.
Samsung Electronics Chairman Jay Y. Lee is meeting with Oliver Zipse, CEO of BMW, at the BMW Driving Center located in Yeongjongdo, Incheon in 2022 to discuss cooperation plans in the battery and electronic components sectors. Samsung Electronics
원본보기 아이콘From the Birth of JBL in 1946 to the Samsung Acquisition: Writing the History of Audio
Harman’s roots run deep. The company originated with “Lansing Sound” (now JBL), founded by James B. Lansing in 1946, and Harman Kardon, established in 1953. Beginning with the acquisition of JBL in 1969, Harman went on to acquire leading global audio brands such as AKG, the automotive audio division of Bang & Olufsen (B&O), Mark Levinson, and Lexicon, thereby building an unrivaled multi-brand portfolio.
Harman has led the audio market by introducing innovative technologies such as Dolby stereo cassette players. Today, the company reigns as a “sound powerhouse” that satisfies customer preferences across all areas-from consumer audio devices to car audio and large-scale stage sound systems.
In November 2016, Samsung Electronics made a surprise announcement that it would acquire Harman for 9.4 trillion won (approximately 8 billion dollars), the largest M&A deal in Korean corporate history at the time. The bet paid off. Last year, Harman recorded its highest-ever performance, posting sales of 15.7833 trillion won and an operating profit of 1.5311 trillion won. This is more than double the 7.1034 trillion won in sales posted in 2017, immediately after Samsung Electronics completed the acquisition. Notably, the operating margin reached 9.7%, demonstrating not only external growth but also solid profitability.
Securing Both “Automotive Electronics” and “Audio” Leadership
The driving force behind this success was Chairman Lee Jae-yong’s bold decision to position automotive electronics as Samsung’s next-generation growth engine. It was the result of a strategic alignment: Samsung aiming for opportunities in next-generation automotive components, and Harman seeking to evolve into a smart device company by merging with IT. The combination of Samsung’s semiconductor, 5G communications, and display technologies with Harman’s automotive electronics solutions provided a stable hardware supply base and a springboard for dominance in advanced markets.
Currently, Samsung Harman holds the top global position in both core automotive electronics components such as digital cockpits and the car audio sector. Approximately 70% of Harman’s total revenue comes from automotive electronics-related businesses. This not only outpaces traditional competitors like Sony and Bose in the global market but also places Harman alongside the world’s top 40 automotive electronics companies. Additionally, Harman maintains an unchallenged number one position in specialist audio markets, such as stage sound systems and Bluetooth speakers, successfully securing leadership in both automotive electronics and audio.
What’s Next for Harman?
Samsung Harman is not resting on its laurels; instead, it is pursuing aggressive investments to prepare for the next 80 years. Last December, Samsung invested approximately 2.6 trillion won to acquire the Advanced Driver Assistance Systems (ADAS) division of German automotive electronics company ZF, elevating its capabilities in integrated autonomous driving solutions. In May of the same year, Harman also acquired the audio division of the U.S. company Masimo for 500 billion won, bringing premium audio brands such as B&W, Denon, and Marantz under its umbrella and further strengthening its reputation as an audio powerhouse.
The company is also accelerating efforts to expand its research and development (R&D) and production bases. Samsung Electronics plans to invest approximately 230 billion won in Hungary to establish an R&D center for autonomous driving software and hardware, as well as to expand Harman’s automotive electronics production facilities. The Hungarian Investment Promotion Agency (HIPA) predicted that this investment would create 25 high value-added jobs in the R&D sector.
Samsung stated, “Harman’s audio technology contributes to Samsung’s continued global leadership in TVs, home appliances, and mobile devices. In the future, we will further strengthen our technological capabilities in smart cars and smart homes by leveraging collaboration with 5G-based connected car features, Exynos Auto chips, and the SmartThings platform.”
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