Samsung launches groupwide AI transformation

Samsung will roll out artificial intelligence across all of its affiliates, adopting external AI services and overhauling work processes as it pushes to make AI a core part of its operations and corporate culture.

The initiative is widely seen as a concrete step toward Samsung Electronics Chairman Lee Jae-yong's call earlier this year to "fundamentally change the organization's DNA."

● Samsung embraces outside AI tools

Samsung on June 9 announced an AI transformation plan that will introduce AI across all business functions throughout the group. The centerpiece of the initiative is the formal adoption of external generative AI services such as ChatGPT, Gemini and Claude across Samsung affiliates.

Starting this month, Samsung plans to use the tools in a broad range of functions, including software development, marketing, product development and manufacturing.

Until now, Samsung had largely restricted the use of external AI platforms because of concerns over data security, relying instead on its in-house AI model, Samsung Gauss.

But Gauss failed to gain widespread support among employees. Some workers who could not access generative AI tools on company computers reportedly transferred work materials to personal smartphones, used external AI services and then moved the results back to company systems.

Samsung ultimately concluded that effectively using leading external AI platforms would be just as important as developing its own AI technology in maintaining competitiveness.

Industry officials expect Samsung to adopt enterprise services such as OpenAI's ChatGPT Enterprise, which does not use customer data to train its models.

A Samsung official said the company plans to introduce AI services through business-to-business agreements that include separate security protections. Details are still under discussion, the official added.

● CEOs to take direct responsibility

Chief executive officers across Samsung affiliates will be expected to lead AI adoption across eight major business functions: development, procurement, manufacturing, logistics, marketing, sales, service and management support.

To support the effort, Samsung will launch a broad AI training program. About 50 top executives will attend a two-day AI Transformation Boot Camp this month at Samsung's Human Resources Development Center in Yongin, Gyeonggi Province. It will mark the first time Samsung has provided AI training to its entire group of senior executives.

At the program, each CEO will present an AI transformation vision and outline plans to use AI to improve business processes at their companies.

More than 2,300 executives will also participate in three-day residential AI training sessions through Aug. 12. Samsung plans to complete AI training for all employees by the end of the year.

Samsung said the initiative reflects its belief that AI presents an opportunity comparable to the digital transformation wave of the 1990s.

The company said early adoption of digital technologies helped it grow into a global business and that it intends to take a leading role in the AI era as well.

Samsung also described the initiative as the starting point for becoming an AI-native company. Because Samsung has long been a trendsetter in South Korea's business community, its decision to adopt external AI tools is expected to influence other companies that have been hesitant to do so.

Bae Jong-tae, professor emeritus at KAIST's College of Business, said many South Korean companies have limited the use of external AI services because of concerns about data leaks even though such tools are already widely used overseas.

"If Samsung takes the lead and addresses problems that emerge along the way, it could help other companies accelerate their own AI adoption," he said.


이민아 omg@donga.com