Samsung’s New Growth Engine
Samsung Electronics has established a new team called “Synergy Group” to speed up its electronic auto parts business globally.
The synergy team will coordinate car-related businesses of its affiliates. On top of that, the team will focus on boosting synergy with the US-based auto parts giant Harman that Samsung acquired for US$8 billion.
“As vehicles adopt a variety of parts like displays, chips, batteries, audios, it is key to the success of the auto-parts business to coordinate among parts manufacturers, which is the reason to set up the synergy team,” an official at Samsung Electronics explained.
The new team will be led by Park Jong-hwan, vice president of the company's automotive electronics business unit.
Samsung Electronics, which produces displays, chips, batteries and audio, entered the car infotainment market in December 2015 as part of its efforts to find a new growth engine through creating synergy with its existing technologies in electronics sector. The acquisition of Harman is a part of such efforts.
Samsung Electronics expects to share its expertise in sensors, displays, mobiles and the fifth-generation (5G) network with Harman who will bring a strong automotive portfolio to Samsung in return.
"The Synergy Group, which will absorb the roles of the existing global partnership unit, will focus on realigning the business portfolio of the auto parts unit under close partnership with Harman and other Samsung affiliates," an official at Samsung Electronics said.