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Tech6 hr ago

Samsung Stock Rises After Company Forms Robotics Division for Physical AI

By TrendingWire Newsroom

Samsung Electronics saw its stock price climb after announcing the creation of a new robotics division, signaling a stronger focus on what the company calls 'physical AI.' This move highlights Samsung's ambition to expand beyond traditional electronics into advanced robotics and artificial intelligence that interacts with the physical world. Physical AI refers to technology that combines AI software with hardware, such as robots or autonomous machines, to perform real-world tasks. The new division will likely develop robots for industrial and domestic use, including humanoid assistants and automated manufacturing systems. Samsung, a global leader in smartphones, memory chips, and home appliances, has been investing in AI and robotics for years. In 2021, it formed a task force for robotics, and its Samsung Ventures arm has backed several startups in the field. The timing of the announcement reflects a wider industry trend, with competitors like Tesla and Xiaomi also pushing into humanoid robots. Investors responded positively, with Samsung's shares rising around 2% on the news. Analysts say the move could open new revenue streams and enhance Samsung's long-term growth prospects. The robotics division will report directly to the company's CEO, underscoring its strategic importance. Samsung has not yet revealed specific products or timelines, but the division is expected to work closely with existing businesses, including its semiconductor and consumer electronics units. The push into physical AI represents Samsung's bet that robots will become as common as smartphones in the coming decades. The company aims to leverage its manufacturing capabilities and AI research to compete in this emerging market.

Sources: CNBC
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