The competition between Samsung Group and LG Group intensified at CES 2025, as both companies announced their plans to enter overlapping sectors in search of new growth opportunities.
Home Appliance Subscriptions
Samsung Electronics revealed plans to expand its home appliance subscription business to include smartphones and other products. CEO Han Jong-hee emphasized that despite being a late entrant, the subscription service has seen strong growth.
Samsung’s service, launched in December, offers AI-powered appliances like TVs, refrigerators, washers, and vacuums, with future plans to include smartphones and Ballie, an AI home robot.
This move challenges LG Electronics, which has seen success with its own home appliance subscription service. LG CEO Cho Joo-wan acknowledged the competition but expressed optimism, highlighting the company’s strong network of 5,000 care managers who provide expert service to subscribers.
AI Home Robots
Both companies are also competing in the robotics sector, with Samsung unveiling its Ballie robot and LG showcasing its Q9 self-driving AI home hub.
Both companies aim to develop humanoid robots as part of their future strategy. Samsung recently invested in a robotics subsidiary, while LG is considering increasing its stake in a robotics firm it invested in last year.
Chip Materials: FC-BGA and Glass Substrates
In the semiconductor sector, LG Innotek and Samsung Electro-Mechanics are vying for dominance in FC-BGA substrates and glass substrates.
LG Innotek began mass production of FC-BGA substrates in 2022 and is optimistic about its future growth, aiming to achieve cost competitiveness and higher production yield than Samsung.
On the other hand, Samsung Electro-Mechanics is confident in its FC-BGA business and is negotiating with global tech firms, particularly in the AI server and cloud industries.
The company also plans to begin mass-producing glass substrates by 2027, which are expected to boost semiconductor speeds and reduce power consumption.
SK Group’s Early Lead in Glass Substrates
Meanwhile, SK Group’s SKC is taking an early lead in the glass substrate market. Chairman Chey Tae-won visited the group’s booth at CES 2025, indicating that SKC has already secured a client for its glass substrates, even before mass production begins.
As Samsung, LG, and SK Group push forward with new technologies, the rivalry between these giants continues to heat up, promising further innovations in home appliances, robotics, and semiconductor materials.
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