Samsung Electronics has significantly increased its stake in robotics developer Rainbow Robotics, turning the latter into its subsidiary. Samsung considers the development of intelligent robotics to be one of its priorities for the coming years and has made a strategic decision to strengthen its position in this segment by collaborating with an experienced developer.
According to South Korean sources, Samsung Electronics has invested 267.5 billion won ($181.75 million) in Rainbow Robotics. Samsung first invested in Rainbow Robotics in 2023, acquiring 14.71% of its shares for 86.8 billion won ($60 million). The additional investment increased Samsung's stake in Rainbow Robotics to 35%, making Samsung the largest shareholder in the robotics company and allowing it to include the financial statements in its corporate reports.
Rainbow Robotics was founded in 2011 by a research group at the Korea Advanced Institute of Science and Technology led by Professor Oh Jun-ho, known for creating Korea's first bipedal humanoid robot, Hubo, in 2005. After the new investment, Professor Oh Jun-ho's stake in the company is reduced from 17.37% to 7.78%.
In parallel, Samsung has created a team of future robotics developers that reports directly to the CEO. This will allow the company to take advantage of the growth potential of the robotics market. In September, the CEO and vice chairman of Samsung Electronics said the company would focus on medical technology, robotics, automotive electronics and eco-friendly air conditioners, predicting "strong growth" in these areas. At CES 2024, he also highlighted Samsung's intentions to develop intelligent robots that can coexist with humans thanks to advanced artificial intelligence features.
In May 2023, Samsung's internal robotics group was restructured to improve efficiency. After receiving a leading stake in Rainbow Robotics, its head will lead the group, while remaining subordinate to Samsung's CEO.
Samsung plans to use Rainbow Robotics' robots to automate manufacturing, logistics and other processes. These robots will be equipped with artificial intelligence algorithms to analyze situational data, which will expand their functionality. Rainbow Robotics, in turn, will be able to use Samsung's global commercial infrastructure to expand into international markets.
Rainbow Robotics' developments include collaborative robots, two-armed robots, autonomous mobile robots and humanoid robots. For example, the RB-Y1 robot with two "arms" has already been tested for Samsung's chip and home appliance production.
Next year, the company will introduce an upgraded Ballie home robot in the shape of a ball, equipped with artificial intelligence. Rainbow Robotics will improve this model. Ballie will become an intermediary between a person and a smart home, performing the functions of a mobile remote control with AI and a built-in projector.