Only this weekend! Samsung Discover deals! Galaxy S24 Ultra, Watch 6, Z Fold 5 or, Z Flip 5.

SamMobile has affiliate and sponsored partnerships. If you buy something through one of these links, we may earn a commission.

Notifications
    News for you

    Nope, Samsung will never make a smart car – here’s why

    Opinion
    By 

    Last updated: May 10th, 2021 at 15:57 UTC+02:00

    Samsung has been flirting with the automotive industry again this month, confirming that at least one new sizable chipmaking projects catering to vehicle manufacturers is underway. But what does that exactly mean?

    That's a surprisingly difficult question to answer, so it's better to start with what it doesn't mean – self-driving of any sort. Or rather, should Samsung have anything to do with the first wave of autonomous transportation, it's going to be providing the chips handling the brains of a vehicle fleet or five.

    But uncertain times are ahead for chipmaking, on the whole. And the Korean giant is currently coming to grips with much larger issues, including the likelihood of a major silicon shortage.

    A self-driven strategy with no driver's license?

    So, why bother with carmakers now, of all times? It would appears that's just a some unfortunate timing on Samsung's part. Besides, the company's latest push in the automotive sector is hardly the most exciting project across any unit of time or space. But that's alright, the automotive industry hasn't been particularly exciting in a long time, anyway.

    In fact, the former Artic Cloud division of Samsung that was eliminated in a 2019 rebalancing was a much more exciting prospect for both IoT and connected vehicles, in particular. These days, the conglomerate, on the whole, is much more concerned with profits  and optimizations. As is customary for any business of this size. Not that there ever were too many of those to compare against.

    Especially since Samsung's kind of in a league of its own when it comes to both technological capabilities and money-making. Maybe those two are somehow related, eh? Its track record seems to suggest as much, especially combined with world-class marketing efforts that have been ongoing for many a year.

    The point being, Samsung's already stretched pretty thin, bleeding–edge talent-wise. On account of being an innovator in so many fields already, plus a consistent supplier in the automotive space. Even a much more desperate Samsung than the one we're looking at today probably wouldn't commit to an aimless self-driving car pursuit beyond a dashboard of some sorts. So, pretty much what it's doing already, anyway.

    Besides, Seoul knows that betting on batteries is a much smarter play than trying to lead the electrification of land traffic. And with the Ericsson drama finally ending this week, it's fair to assume Samsung's top international attorneys are hoping for some peace and quiet before getting back into the ring.

    This would be why Samsung has recently been more concerned with chasing governments from Vietnam to the European Union – or perhaps the other way around – over the prospects of some heavily subsidized government projects rather than figuring out how to deliver better mid-range chips to automakers. That's not where the real money is.

    BusinessOpinion Samsung ElectronicsSamsung Foundry

    You might also like

    Samsung isn’t selling old chip-making equipment fearing US sanctions

    Samsung isn’t selling old chip-making equipment fearing US sanctions

    Samsung Foundry is among the world's biggest semiconductor chip makers. It frequently upgrades to newer and more advanced chip-making equipment. Usually, the companies making chips sell older equipment once they are phased out from their lineups, but Samsung and SK Hynix have stopped selling their older equipment, fearing backlash from the US. Older chip-making equipment […]

    • By Asif Iqbal Shaik
    • 15 hours ago
    Worker strike looms over Samsung as salary negotiations falter

    Worker strike looms over Samsung as salary negotiations falter

    Samsung Electronics may have to deal with a worker strike if no progress is made on salary negotiations between the company and the labor union. The union is now threatening a strike if Samsung Electronics doesn't meet their demands. The labor union is asking for a significant salary increase. While Samsung has offered them an […]

    • By Adnan Farooqui
    • 5 days ago
    Galaxy A55 is the final test that can prove Exynos is back

    Galaxy A55 is the final test that can prove Exynos is back

    Samsung's Exynos chip brand went through a rough patch after the Exynos 2200 SoC and the Galaxy S22 series were released. Even though the S22 flagship was later optimized, it suffered from a rocky start. Many blamed the Exynos 2200 solution, especially because the select Galaxy S22 models powered by Qualcomm chips were superior. That's […]

    • By Mihai Matei
    • 6 days ago
    Galaxy S24 and Exynos 2400 may have secured Google Tensor G4 orders for Samsung Foundry

    Galaxy S24 and Exynos 2400 may have secured Google Tensor G4 orders for Samsung Foundry

    Semiconductor industry watchers say Samsung Foundry might be gaining momentum and securing more clients thanks to the positive reception of the Galaxy S24 and the Exynos 2400 chip. New reports reconfirm that Google might be one of those clients this year. Google is developing a new Tensor chip for the upcoming Pixel 9 series, which […]

    • By Mihai Matei
    • 6 days ago
    Samsung facing the heat from new contract chip manufacturers Intel and Rapidus

    Samsung facing the heat from new contract chip manufacturers Intel and Rapidus

    For the past few years, Samsung Foundry and TSMC were the only brands capable of making semiconductor chips on 7nm (or better) process nodes. While TSMC has been the best in performance and efficiency, Samsung was a good option for firms that couldn't afford TSMC or get enough volume. Intel and Rapidus plan to make […]

    • By Asif Iqbal Shaik
    • 7 days ago
    Samsung could use Nvidia tech to improve its semiconductor chips

    Samsung could use Nvidia tech to improve its semiconductor chips

    Samsung Foundry has been lagging behind TSMC over the past few years. Its semiconductor chips haven't been able to perform as well as those made by TSMC. Samsung reportedly plans to use Nvidia's Digital Twin technology based on its Omniverse platform to catch up with its Taiwanese rival. Samsung could use Nvidia's Digital Twin technology […]

    • By Asif Iqbal Shaik
    • 1 week ago