Samsung, the global tech giant, has announced that it would combine its mobile and consumer electronics units under a pair of new co-chief executive officers, who will replace the three-headed leadership structure it previously used, according to a Reuters report.
Accordingly, Samsung will double down on its focus on chips and consumer devices, including smartphones, as part of the new corporate structure.
Samsung became the biggest smartphone maker in the world thanks to its Galaxy line but has seen that momentum slow in recent years. Meanwhile, components, including chips, have become a bigger slice of the overall profit pie, generating 15.8 trillion won ($13.4 billion) operating profit in the most recent quarter.
Han Jong-hee, the head of Samsung’s visual display business, will become a co-CEO, leading the newly merged division spanning mobile and consumer electronics while also continuing to lead the television business.
Kyung Kye-hyun, chief executive of component affiliate Samsung Electro-Mechanics and a former head of the flash memory chip and technology team, was named co-CEO to lead the chip and components division.
Samsung also named Chung Hyun-ho vice chairman and head of a task force that will coordinate decision-making in Samsung Electronics and affiliates.
Samsung Electronics last-named new division heads in late 2017. The company plans to focus on semiconductors, artificial intelligence (AI), robotics, and biopharmaceuticals under a plan to invest 240 trillion won ($206 billion) in those areas in the next three years. The company also said it’s building a $17 billion chip plant in Taylor, Texas.
