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Published: Sat, August 11, 2018
Tech | By Dwayne Harmon

Samsung announces three-year $160bn investment plans

Samsung announces three-year $160bn investment plans

Samsung, which earlier acquired US automotive electronics firm Harman International Industries Inc., has been making various progress in this field.

The investment is also part of a bigger 180 trillion won three-year plan to create jobs and secure fresh revenue streams, providing the first hint of direction for Samsung since group heir Jay Y. Lee was released from jail in February on a suspended sentence following a conviction for bribery.

All-in-all, Samsung expects to create 40,000 new jobs over the next three years, which includes creating 20,000 new jobs on top of previous hiring plans - it said this shows Samsung's commitment to support youth employment.

The firm plans to take this action by making investments into businesses, and will look to deplete the fund over the next three years.

The new strategy will entail an overhaul of Samsung's internal venture incubation program, said the company. With its investment in AI, it will increase its own capability, increasing the number of researchers to 1,000 across its global AI Centers.

While Samsung Electronics, the world's largest manufacturer of chips and smartphones and the flagship company of the group, have not said how the investment will be distributed. "It will continue to invest heavily in the businesses, including developing and manufacturing biosimilars", it said in a statement.

Lee was freed after almost a year in jail but former President Park Geun-hye and a close associate remain imprisoned for bribery and other charges. The most notable appearance was in India, where Lee met with President Moon Jae-in and Samsung announced plans to expand its smartphone production there. Most of that investment - about 130 trillion won of the total - will be spent in South Korea, the company said without giving further breakdowns.

Samsung's investment announcement came two days after the finance minister visited a Samsung computer chip factory, where he touted Samsung's importance in South Korea's economy.

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