Samsung Electronics Chairman Lee Jae-yong warned executives that the company has “lost its edge” and must tackle challenges with a “do-or-die” mindset, according to industry sources.
Samsung recently conveyed Lee’s message to executives during a seminar aimed at reinforcing Samsung’s identity, sources said on March 17. The seminar, held at the company’s training center in Yongin, south of Seoul, has been running since late February for about 2,000 executives from across Samsung’s affiliates.
A video shown at the seminar featured the business philosophies of Samsung’s late founder Lee Byung-chul and former Chairman Lee Kun-hee, as well as remarks from Lee Jae-yong.
“Samsung’s survival is at stake,” Lee said in the message, according to sources. “The leadership must engage in deep self-reflection.” He also stressed that the company should focus on its approach to crises rather than the crises themselves. “We must prioritize long-term investment over short-term gains,” he said. Lee did not appear in the video himself.
Executives attending the seminar received a crystal plaque, about the size of a business card, engraved with the phrase: “Samsung people—resilient in crises, strong in comebacks, and relentless in competition.”
Samsung has struggled to capitalize on AI-driven semiconductor advancements, such as high-bandwidth memory (HBM). Last year, the company’s global market share declined across key businesses, including TVs, smartphones, and DRAM chips.
According to its latest business report, Samsung’s global TV market share fell from 30.1% in 2023 to 28.3% last year, while its smartphone share declined from 19.7% to 18.3%. The company’s dominant position in DRAM also slipped, with its market share dropping from 42.2% to 41.5%. Harman, Samsung’s subsidiary in the automotive and audio sector, saw its digital cockpit market share decrease from 16.5% to 12.5%.
