Samsung shares closed higher Wednesday, as the south Korean tech giant announced plans to make a major investment into new technology. Initial investments are set to centre around the AI, 5G and electric components for the auto industry, the group said.
Samsung shares closed 0.21% higher at KRW46,800. The stock has been a little mixed during the past week.
Samsung investment plans
Samsung announced earlier Wednesday that it plans to invest some $160 billion in tech and businesses that will support its future growth plans.
The first phase of the investment plan will see some $22 billion spent on developing new AI and 5G tech. Electric components for the auto sector and biopharmaceuticals will also be in focus, the group said.
“Samsung expects innovations powered by AI technology will drive the industry’s transformation, while the next-generation 5G telecommunications technology will create new opportunities in autonomous driving, the Internet of Things (IoT) and robotics,” the electronics and tech giant said in a press release.
“Overall, Samsung plans to invest a total of KRW 180 trillion over the next three years, including the spending on future growth businesses. The amount includes capital expenditures and R&D investments, and KRW130 trillion out of the total will be spent in Korea,” it added.
Job creation, research focus
While Samsung is already the world’s largest smartphone maker and also has a big slice of the semiconductor market – including supplying chips to Apple and other tech giants – the South Korean business is clearly intent on remaining a major tech force.
Its investment will generate the need for more research around the globe. The firm has committed to creating 40,000 new jobs in the next three year – double its previous plans.
Other elements of its investment plans include:
- Expansion of its internal C-Lab venture, to support relevant external start-ups.
- To set up software education centres across Korea – in partnership with the Government.
- Grow and strengthen ties with leading tech education institutions.