In addition to traditional American and European car companies, technology giants also want to enter the electric car market. For example, Apple is taking quite decisive steps in this direction. But Samsung, which is Apple’s main competitor in the smartphone segment, has decided it won’t be making electric vehicles under its own brand. This publication The Korea Times was told by two top managers of the South Korean giant, who dealt with this issue directly.
The main reasons behind this decision are that Samsung does not believe in success. They believe that the company’s entry into the electric vehicle market will not bring a stable income. In addition, the South Korean manufacturer intends to continue to avoid any possible conflicts with its large customers, focusing on contractual obligations in the semiconductor business.
Due to the special nature of Samsung and Apple’s relationship, investors’ attention has been focused on Samsung’s position regarding the actual launch of the Samsung EV. Compliance and Apple’s dominance are pushing Samsung to focus on components. Remembering the high-profile patent war between Samsung and Apple, during which the American manufacturer accused the South Korean competitor of copying the design and technical equipment of the iPhone and iPad, Samsung has a lot of work to do in the field of design. And that can be a key issue when it comes to running an established EV business. According to the source, it will be very expensive and does not guarantee value.
Samsung Electronics has a number of subsidiaries that cooperate with automakers. For example, Samsung SDI sells batteries for electric vehicles, Samsung Display supplies displays. The South Korean giant is betting on the production of various components and the semiconductor business, as the smartphone business is no longer as profitable as it used to be.
Source: Trash Box
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