By Ann - Oct 03, 2024
Samsung is planning to cut thousands of jobs to enhance competitiveness in AI industry, facing tough competition from Google, Microsoft, and OpenAI. The company aims to focus on emerging technologies and address challenges in integrating AI across its product ecosystem. Despite struggling in AI advancements, Samsung is set to increase investment in AI technology to improve its position in the rapidly changing tech landscape.
technews.com via Samsung
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Samsung, a global electronics and technology corporation, is reportedly planning to cut thousands of jobs as it faces increasing competition in the artificial intelligence (AI) industry. Despite its dominant position in the smartphone, display, and semiconductor industries, Samsung has struggled to keep up with AI discoveries made by industry heavyweights like Google, Microsoft, and OpenAI. The job cuts are considered as a cost-cutting strategy aimed at restructuring the company and enhancing its competitiveness in emerging technological areas. Samsung's failure to capitalise on AI advancements has resulted in these drastic steps, as the company strives to redirect its resources onto more profitable and innovative avenues.
The company's AI problems can be attributed to a number of factors, including stiff rivalry from established competitors, slow progress in AI research, and missed opportunities to integrate AI into its product ecosystem. While Samsung has attempted to incorporate AI into its smartphones, appliances, and devices, its discoveries have failed to match the level of innovation that is altering industries around the world. With AI rapidly transforming industries such as healthcare, finance, and self-driving vehicles, Samsung's poor performance has sparked concerns about the company's future position in these lucrative domains.
Job losses are expected to mostly affect divisions focused on research and development (R&D) and areas where the firm has struggled to adequately leverage AI technology. Samsung has made significant investments in R&D over the years, but the outcomes in AI have been underwhelming when compared to competitors that are making incredible improvements in machine learning, natural language processing, and AI-driven automation. This restructuring move reflects Samsung's willingness to shift its resources to more strategic industries where it can regain momentum and compete successfully on a global scale.
Despite these obstacles, Samsung remains determined to turn its AI fortunes around. The corporation has already declared intentions to increase its investment in cutting-edge AI technology and form new relationships with AI startups and academic institutes. As Samsung restructures and reassesses its strategy, the tech behemoth aspires to build a future in which its AI skills can supplement its hardware supremacy and establish a firmer footing in the quickly changing technological world.