Samsung Electronics is making strategic moves in the electric vehicle (EV) industry, with Chairman Jay Y. Lee recently meeting top executives from Chinese automakers. These high-level discussions signal Samsung’s ambitions to expand its presence in the rapidly growing EV component market.
Samsung’s EV Strategy Takes Shape
On March 24, 2025, Samsung Electronics Executive Chairman Lee Jae-yong (also known as Jay Y. Lee) visited BYD’s headquarters in Shenzhen, China. This meeting with BYD Chairman Wang Chuanfu and other senior leaders comes just days after Lee’s discussions with Xiaomi CEO Lei Jun, highlighting Samsung’s focused approach to the EV sector.
Samsung’s interest in the EV market stems from its diverse portfolio of companies that produce various automotive components. The conglomerate sees significant opportunities to supply cutting-edge technologies to the booming EV industry, particularly in China.
BYD: A Key Player in the Global EV Market
BYD (Build Your Dreams) has emerged as a formidable force in the global EV landscape. In 2023, the company overtook Tesla to become the world’s largest EV manufacturer, selling over 3 million environmentally friendly vehicles, including electric, hybrid, and hydrogen-powered cars.
Some key facts about BYD’s recent performance:
- Sold 3.02 million EVs in 2023, compared to Tesla’s 1.82 million deliveries
- Reported an 80.7% year-on-year increase in operating profit to 30.04 billion yuan ($4.2 billion) in 2023
- Recently unveiled a new EV platform capable of 400 kilometers of range after just five minutes of charging
BYD’s rapid growth and technological advancements make it an attractive partner for Samsung as the Korean tech giant looks to expand its automotive component business.
Potential Areas of Collaboration
Samsung’s diverse technology portfolio offers numerous opportunities for collaboration with EV manufacturers like BYD. Some potential areas of partnership include:
Display Technology
Samsung Display could provide advanced OLED panels for vehicle infotainment systems and digital dashboards. These high-quality displays offer better contrast, faster response times, and improved energy efficiency compared to traditional LCD screens.
Semiconductor Solutions
As the world’s largest memory chip maker, Samsung could supply various semiconductor products essential for EVs:
- Memory chips for infotainment systems and advanced driver-assistance systems (ADAS)
- Power management integrated circuits (PMICs) for efficient energy distribution
- Image sensors for parking assistance and autonomous driving features
Battery Technology
While Samsung SDI (a separate entity from Samsung Electronics) is not directly involved in these discussions, its expertise in EV batteries could potentially lead to future collaborations or technology sharing agreements.
Harman’s Automotive Solutions
Samsung’s subsidiary Harman International specializes in connected car technology and digital cockpit systems. These solutions could enhance BYD’s vehicles with:
- Advanced audio systems
- Vehicle-to-everything (V2X) communication capabilities
- Over-the-air (OTA) update functionality
Challenges and Opportunities
Samsung’s push into the EV component market comes with both challenges and opportunities:
Challenges:
- Intense competition from established automotive suppliers
- Adapting consumer electronics expertise to meet stringent automotive standards
- Navigating complex supply chains and regulatory environments in different markets
Opportunities:
- Leveraging Samsung’s strong brand and technological prowess
- Capitalizing on the rapid growth of the global EV market
- Diversifying revenue streams beyond traditional consumer electronics
The Road Ahead for Samsung and Chinese EV Makers
As the EV industry continues to evolve, partnerships between tech giants like Samsung and innovative automakers like BYD are likely to become more common. These collaborations have the potential to accelerate technological advancements in EVs, ultimately benefiting consumers with more advanced, efficient, and affordable electric vehicles.
Samsung’s recent high-level meetings in China demonstrate the company’s commitment to playing a significant role in the future of electric mobility. By forging strong partnerships with leading EV manufacturers, Samsung aims to position itself as a key supplier of cutting-edge technologies that will shape the automotive industry for years to come.
As the global automotive landscape shifts towards electrification, Samsung’s strategic moves in China could mark the beginning of a new era for the tech giant in the world of electric vehicles.