Samsung acquires HVAC company

[Anchor]

Samsung Electronics, which focuses on semiconductors and smartphones, is acquiring other companies one after another.

However, the sectors are somewhat unexpected.

After recently acquiring an audio company, this time it has purchased an HVAC company for a large sum.

What is the intention behind this? Reporter Hanuri has investigated.

[Report]

Data centers are places that handle almost everything we do on the internet.

[Microsoft Data Center: "It must be operational 24 hours a day, 7 days a week, all year, every year."]

To keep running continuously, the 'heat' of the machines must be cooled.

One way to do this is to run a kind of 'giant air conditioner', the HVAC system.

Samsung Electronics has entered this field late by acquiring the German company 'Fläkt' for a whopping 2.4 trillion won.

[Park Soon-cheol/Samsung Electronics Chief Financial Officer (CFO)/Apr. 30: "We are continuously reviewing M&A for enhancing shareholder value and future growth using our cash reserves."]

Looking at the sectors Samsung has recently acquired, such as HVAC equipment for data centers and audio for cars, investments are focused on supporting core industries for 'future growth'.

[Park Gang-ho/Senior Researcher at Daishin Securities Corporate Research Department: "In the context of intensifying competition with China, there is a need to create new revenue streams, which requires B2B (business-to-business) opportunities."]

It seems they are looking for a stable source of income to support the struggling semiconductor and highly competitive smartphone sectors.

[Seo Sang-young/Executive Director at Mirae Asset Securities WM Innovation Division: "The future revenue streams lie in software technology through AI, so we need to be cautious about investments and mergers and acquisitions focused on hardware companies."]

Samsung has stated that it will achieve results in its core businesses, including semiconductors, in the second quarter.

This is KBS News, Hanuri.