The company, which had introduced Gemini-backed AI features to roughly 400 million smartphones and tablets by the end of last year, aims to integrate AI across all its products, functions, and services. “We will apply AI to all products, all functions, and all services as quickly as possible,” Samsung co-CEO T.M. Roh told Reuters in his first interview since taking on the role in November.
By expanding Galaxy AI, Samsung seeks not only to solidify its position in the smartphone market but also to bolster Google, the developer behind its AI features. Google is competing against rivals such as OpenAI in a fast-moving race to attract more consumer users to its AI models.
A Strategic Play Against Rivals
Samsung’s AI ambitions come as it tries to reclaim market ground lost to Apple in smartphones and fend off growing Chinese competition across mobile devices, televisions, and home appliances. Integrated AI services are central to Samsung’s strategy to differentiate its products and widen the gap with Apple, which remains the leading smartphone maker as of last year, according to market research firm Counterpoint.
Alphabet’s Google launched Gemini 3 in November, highlighting its AI model’s strong performance across industry benchmarks. The release reportedly prompted OpenAI CEO Sam Altman to issue an internal “code red,” pausing non-core projects to accelerate development of its own models, including GPT-5.2.
Roh said consumer awareness of Galaxy AI has surged in just one year, from about 30% to 80%, indicating growing acceptance of AI-driven mobile features. “Even though the AI technology might seem a bit doubtful right now, within six months to a year, these technologies will become more widespread,” he added.
While AI-driven search remains the most widely used feature, Samsung users increasingly rely on generative AI tools for image editing, productivity, translation, and summarization. Galaxy AI combines Google’s Gemini for certain tasks with Samsung’s in-house Bixby assistant, offering a broad array of capabilities across devices.
Navigating the Memory Chip Shortage
Samsung shares rose 7.5% on Monday as the company prepares to report a fourth-quarter profit jump later this week, boosted in part by a global memory chip shortage. The shortage has been a double-edged sword: it supports Samsung’s semiconductor business but adds pressure to margins in its smartphone and consumer electronics segments.
“As this situation is unprecedented, no company is immune to its impact,” Roh said. While Samsung has not ruled out raising product prices, it is working with partners on long-term strategies to mitigate the effects of rising memory chip costs. Analysts from IDC and Counterpoint forecast that the global smartphone market could shrink next year as higher chip prices push up retail costs.
Foldables: Growth, Challenges, and Competition
Samsung, which pioneered foldable smartphones in 2019, has seen slower-than-expected growth in this segment. Roh attributed the pace to engineering complexities and a lack of applications optimized for foldable designs. Still, he expects foldable devices to become mainstream within the next two to three years.
Data from Counterpoint shows Samsung controlled nearly two-thirds of the foldable market in the third quarter of 2025, with a high rate of repeat purchases from existing users. However, the company faces rising competition from Chinese rivals like Huawei and an expected foldable launch from Apple this year.
As Samsung ramps up AI integration across its devices and navigates supply challenges, the company appears determined to maintain its edge in an increasingly competitive global technology landscape.