SEOUL - Samsung Electronics Co., a global leader in memory chips and smartphones, has announced the formation of a new unit dedicated to planning "future business" strategies. This move is part of the company's annual executive reshuffle, aimed at adapting to changing market conditions and exploring new business avenues.
According to Yonhap News Agency, the unit will be headed by Jun Young-hyun, a veteran Samsung executive currently serving as vice chairman of Samsung SDI Co. Samsung Electronics retained two co-CEOs, Han Jong-hee and Kyung Kye-hyun, in what seems to be an effort to maintain stability in leadership. This decision comes approximately a year after Chairman Lee Jae-yong took over the company's helm. The newly formed unit is expected to focus on identifying and developing new business opportunities beyond Samsung's current operations. Additionally, the reshuffle included promotions of two vice presidents: Yong Seok-woo, who will lead the display division, and Kim Won-kyong, a former diplomat, who will head the global public affairs division.
The reshuffle and creation of the new unit come at a time when Samsung Electronics faces challenges due to a prolonged global economic downturn and a struggling semiconductor industry. The company has experienced its lowest quarterly earnings since the first quarter of 2009, with operating profits of 640.2 billion won and 668.5 billion won in the first and second quarters of this year, respectively.