Samsung and LG Declare Global AI Market Leadership: "Physical AI Era Officially Begins"

Leading Korean IT giants Samsung Electronics and LG Electronics have launched a full-scale initiative to secure dominance in the global AI market. According to industry sources on August 10, both companies are implementing their AI visions announced at CES 2025, focusing on building physical AI ecosystems that represent a critical turning point for Korea's competitive advantage in the global AI race.

LG Electronics CEO Cho Ju-wan emphasized during a press conference in Las Vegas in January that "everything is becoming AI-enabled," stating that their 2025 business strategy confirms the materialization of physical AI through robots and AI-equipped devices in daily life. He explained that AI technology is evolving beyond simple software into practical solutions combined with hardware.

This strategic shift marks a significant evolution in how Korean technology companies approach artificial intelligence, moving from purely software-based solutions to integrated hardware-software AI systems that directly impact consumers' daily lives.

SK Group Warns: "Falling Behind in AI Competition Threatens All Industrial Competitiveness"

SK Group is also strengthening large-scale investments and strategic approaches to secure competitiveness in the AI market. An SK Group official expressed concern, stating, "If we fall behind in AI competition, the competitiveness of all industries we've been proud of – semiconductors, shipbuilding, steel – will be threatened."

Accordingly, SK emphasizes that systematic API development and localization strategies for manufacturing, robotics, and related AI are necessary for Korean AI industry development. An SK official who has visited CES for three consecutive years mentioned, "We can confirm that AI has begun integrating into all fields," noting the full-scale arrival of the physical AI era.

Samsung Electronics is leading global trends in AI smartphones and AI home appliances. The company has designated 2025 as the 'Year of AI Integration' and is pursuing a strategy to incorporate AI functions across all product lines from mobile devices to home appliances.

Global AI Companies Accelerate Entry into Korean Market

Alongside Korean IT companies' AI technology development, global AI companies are also actively entering the Korean market. OpenAI is scheduled to hold its Korean office opening ceremony in Teheran-ro next month, demonstrating Korea's emergence as an important hub in the global AI ecosystem.

Google is also continuously improving AI services for Korean users, including adding 'Guided Learning' learning assistance tools to Gemini. These investments and expansions by global companies prove that Korea is recognized for its competitiveness in AI technology development and commercialization.

However, some global companies are adjusting their AI strategies. Tesla reportedly suddenly suspended its AI supercomputer 'Dojo' project and disbanded the dedicated team, with analysis suggesting this could impact Tesla's core strategy of internalizing autonomous driving technology.

Industry experts highly evaluate the aggressive moves Korean IT companies are showing in the AI market. One IT expert stated, "Major Korean companies including Samsung, LG, and SK recognize AI not as simple technology but as the core driving force of business transformation, and particularly, their preemptive investment in physical AI will play a decisive role in securing future global competitiveness."

Meanwhile, OpenAI unveiled GPT-5 through a live streaming event on the 7th (local time), showcasing new advances in AI technology. In line with this global AI technology development pace, Korean companies are also expected to accelerate more innovative AI solution development.

As AI technology penetrates deep into daily life, the role of Korean IT companies becomes increasingly important. Experts analyze that "the success keywords of the AI era are technological capability and commercialization speed," and "the manufacturing know-how and global market experience that Korean companies possess will be great strengths in the AI physicalization era."

Looking ahead, the Korean IT industry faces opportunities to lead global markets in various fields including AI semiconductors, AI home appliances, and AI robots. Strategic investments and innovations by major companies like Samsung, LG, and SK are expected to be the driving force that leads Korea as an AI powerhouse.

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