CEOs deliver anniversary messages ahead of Sunday milestone

Device Solutions chief Jeon Young-hyun says technology recovery incomplete

Record earnings attributed to market conditions, not internal strength

Roh Tae-moon stresses cost competitiveness amid difficult conditions

Samsung Electronics Device Solutions Division head Jeon Young-hyun and Device Experience Division head Roh Tae-moon called for strengthening fundamental competitiveness in anniversary messages released Friday. [Samsung Electronics]
Samsung Electronics Device Solutions Division head Jeon Young-hyun and Device Experience Division head Roh Tae-moon called for strengthening fundamental competitiveness in anniversary messages released Friday. [Samsung Electronics]

"Our recent earnings have improved, but it is difficult to say our technological competitiveness has fully recovered. There is still a long way to go."

With Samsung Electronics set to mark its 57th founding anniversary on Sunday, the heads of its two major business divisions pointed to a still-challenging external environment and called for stronger technology capabilities and AI-driven workplace transformation.

Samsung Electronics, which had held annual anniversary ceremonies at its headquarters in Suwon, Gyeonggi Province, has scrapped the event starting this year, replacing it with written messages from its CEOs. Going forward, the company plans to hold formal ceremonies only at major milestones — the 60th, 70th anniversaries and beyond.

Jeon Young-hyun, head of the Device Solutions (DS) Division and the company's semiconductor chief, offered a sober assessment of the record-breaking quarterly earnings Samsung has posted throughout this year, attributing the results to "the favorable market conditions driven by AI growth." Rather than celebrating the historic performance, Jeon said the company must push harder to raise its technological capabilities.

"No one can guarantee how long the market boom will last," Jeon said. "Let us build a business structure that can generate sustained results without being swayed by short-term market conditions."

Jeon said the company's goal of an unassailable lead over rivals must be proven through technology and quality that customers recognize — not through declarations or slogans — and called for strengthening those fundamental competencies.

Jeon also stressed the need to develop technology and products that proactively respond to shifts in next-generation computing architecture, and to secure the technical capabilities needed to create new markets in the AI era.

Noting that technology and quality ultimately depend on people, Jeon said the company would "actively support young talent so they can realize their dreams and grow into world-class experts."

Jeon also urged gratitude and humility toward customers. "The growth of today's AI semiconductor market and the new opportunities it brings were created by our customers," Jeon said. "The more the market booms, the more humble we must be. We must never make unreasonable demands of customers or assert a position of superiority simply because times are good."

Jeon added that the company must work to ensure its achievements translate into new opportunities for partners and local communities as well, underscoring the importance of shared growth.

Roh Tae-moon, head of the Device Experience (DX) Division, which oversees Samsung's finished-product businesses, called for restoring core competitiveness and nurturing new businesses even as the division operates at a loss. Roh said swift preparation and response are needed in an environment where competition in AI services and devices among leading companies is intensifying, and where chipflation is adding further cost pressure.

Roh placed particular emphasis on strengthening fundamental competitiveness. "We must raise the core competitiveness of the device business — product completeness, quality and operations — to reinforce market leadership," Roh said. "The greater the supply chain risks from component prices and other factors, the more we must sharpen our management capabilities to secure differentiated cost competitiveness."

Roh also called for greater focus on cultivating new technologies, including robotics, HVAC, medtech and automotive electronics. The DX Division has been investing heavily in the robotics business — in July, it established a dedicated Robotics Experience (RX) Business Promotion Office reporting directly to Roh.

"We will build a foundation for sustained future growth through securing differentiated core technologies, establishing development and manufacturing infrastructure, and investing to acquire innovative technologies," Roh said.

Roh also said the division must fundamentally overhaul the way it works, using AI transformation (AX) as the basis for accelerating structural improvement.

"We must raise the speed, productivity and quality of work across the board, and redesign eight key functions — including sales and logistics — into AI-optimized processes to become a world-class AI-native company," Roh said. "The resources and capabilities gained from AX innovation will be reinvested in high-value-added work and new growth areas."

Roh closed by saying that "Samsung Electronics has grown by overcoming crises," and that while the DX Division faces difficult business conditions, "the sweat and effort we have put in together will become the foundation for even greater growth."


joze@heraldcorp.com
jeongwan@heraldcorp.com