[Conference Call] Samsung Electronics Accelerates Physical AI Development, Pursuing In-house Production and M&A

Samsung Electronics is making significant strides in the burgeoning field of physical AI, signaling a determined push into the robotics market. During its first-quarter 2026 earnings conference call, the company revealed its accelerated efforts in developing advanced robots, particularly humanoid models, underscoring a strategic intent to compete at the forefront of this technological revolution.

The company's ambition is clear: to rapidly close the gap with industry leaders. Under the leadership of Oh Jun-ho, head of Samsung Electronics' Future Robot Division, substantial technological progress has been achieved over the past year. This progress has laid a robust foundation for Samsung to not only match but potentially surpass existing benchmarks in robotic capabilities.

Samsung's approach is multifaceted, focusing on both internal development and external partnerships. A key element of its strategy involves the "internalization" of core robot components. This means bringing critical manufacturing and development processes in-house, granting Samsung greater control over quality, innovation, and supply chains. Simultaneously, the company is actively exploring mergers and acquisitions (M&A) as a complementary strategy. This dual-track approach allows Samsung to acquire cutting-edge technologies and talent rapidly while also building its own expertise.

The focus on physical AI, exemplified by humanoid robots, indicates Samsung's vision for robots that can interact with and operate within the physical world in increasingly sophisticated ways. This move positions Samsung not just as a component supplier but as a potential leader in the creation of intelligent, adaptable robotic systems that could reshape industries and daily life.