Samsung Faces Shareholder Backlash Over AI Failures, Pledges Bold Recovery Moves

Leadership apologizes for technological setbacks and announces plans for mergers, acquisitions, and supply chain adjustments to regain competitiveness.

• Samsung acknowledged losing its technological edge in semiconductors, particularly in high-bandwidth memory chips critical for AI applications.
• The company’s stock dropped by nearly a third in 2024, underperforming competitors like SK Hynix, which gained market share.
• At its annual shareholder meeting, co-CEO Han Jong-hee apologized for underperformance and pledged to pursue 'meaningful' mergers and acquisitions.
• Samsung plans to adjust its supply chain strategy to address U.S. tariffs and export restrictions impacting its key Chinese market.
• Shareholders criticized leadership for maintaining the status quo, urging bold innovation to reverse the company's declining competitiveness.

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