Samsung chief visits US to deepen partnership with Verizon

Samsung Electronics Executive Chairman Lee Jae-yong, right, poses with Verizon CEO Hans Vestberg at the U.S. company’s headquarters in New York in this file photo taken in November 2021. Courtesy of Samsung Electronics

Samsung Electronics Executive Chairman Lee Jae-yong visited the U.S. for a meeting with Verizon CEO Hans Vestberg, to fortify their collaboration in advancing next-generation telecommunications and bolstering sales initiatives for upcoming Galaxy smartphones in the American market, the electronics firm said Thursday.

They exchanged views on leveraging artificial intelligence (AI) technology to enhance their telecommunications services. Both sides also reaffirmed their alliance in expanding the Android ecosystem in the world’s largest economy. Verizon is the largest telecom company in the U.S.

Verizon is one of Samsung's biggest telecom partners in the U.S. Samsung won its largest-ever telecommunication equipment supply contract with Verizon in 2020. The 7.9 trillion won ($5.75 billion) deal paved the way for Samsung to tap deeper into the fifth-generation network market in the U.S.

Both leaders also pledged to partner with each other to boost sales of new Galaxy smartphones.

Other top-ranking Samsung Electronics executives, including Roh Tae-moon, president and head of the firm’s mobile experience business, and Choi Kyung-sik, CEO of Samsung Electronics North America, also accompanied Lee to the meeting with the Verizon chief.

“We should strive for excellence in business that everyone does, and become a first-mover in businesses that no one can do,” Lee said after the meeting.

The heads from Samsung and Verizon also discussed measures to enable U.S. customers to experience cutting-edge AI functions – operated by the new Galaxy devices – at major retail stores of Verizon.

After the meeting, Lee also met with the leaders of major IT, AI and semiconductor companies in the eastern and western parts of the U.S.

“The U.S. business trip is aimed at strengthening partnerships with Samsung’s major clients there and seeking the group’s next-generation growth engines,” a Samsung Electronics official said. “Lee's schedule will remain tight until mid-June.”

Samsung Electronics reiterated its unwavering willingness to advance its next-generation telecommunication business by reinforcing ties with Verizon. They have maintained business relations in diverse areas including the Galaxy smartphone series, tablet PCs, wearable devices, and network equipment.

Lee and Vestberg have maintained their friendship for over a decade, ever since their initial encounter at the Mobile World Congress (MWC) in Spain back in 2010. Notably, during that period, Vestberg was associated with the Swedish telecom company, Ericsson.

Samsung Electronics wants to solidify its standing as the world's foremost AI-powered smartphone manufacturer. The Galaxy S24 garnered attention both domestically and internationally with this distinction, and Samsung is now focused on enhancing its AI capabilities across its upcoming smartphone lineups.

Samsung Electronics has supported software updates for earlier models such as the Galaxy S23 to let users enjoy AI functions.

The IT industry expects AI to spur the overall growth of the telecommunications industry for the next decade, as video content has done for the past decade, according to Samsung Electronics.