Samsung's Strategic AI Expansion Targets Chinese Market

Samsung is intensifying its focus on China by developing specialized artificial intelligence (AI) features tailored for the local market. This move aims to boost its currently minimal market share in China, which stands at less than 1%. Despite its global dominance in the smartphone market, Samsung has struggled to compete against local Chinese manufacturers like Huawei and Xiaomi.

TM Roh, Samsung’s mobile chief, emphasized the importance of creating AI solutions that cater specifically to Chinese consumers. The company launched the Galaxy S24 series in China earlier this year, integrating Baidu’s Ernie chatbot to enhance AI functionalities. This collaboration with Baidu enables real-time language translation and other AI-driven features on Samsung devices, aiming to meet local needs more effectively.

China's stringent regulations on technology and foreign businesses pose significant challenges. Samsung's partnership with Baidu is a strategic move to navigate these regulations and leverage local expertise. However, competing with established Chinese brands remains a daunting task. Huawei and Xiaomi have their own advanced AI solutions, necessitating Samsung to offer unique, superior features to attract Chinese consumers.

Samsung's strategy involves not just technological enhancements but also expanding its distribution and retail channels in China. The goal is to create premium devices that stand out in a highly competitive market. The company’s effort to revive its presence in China reflects a broader strategy to regain lost market share by offering innovative AI capabilities that align with local consumer expectations.
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